Key Decision: Key. Accountable Head of Service: Ann Osola, Head of Transportation & Highways

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1 5 November 2014 ITEM: 14 Cabinet A13 Widening Scheme Development Wards and communities affected: All Key Decision: Key Report of: Councillor John Kent, Leader of the Council Accountable Head of Service: Ann Osola, Head of Transportation & Highways Accountable Director: David Bull, Director of Planning & Transportation This report is Public Executive Summary Further to the recent announcement of in principle funding for the widening of the A13, Cabinet are asked to delegate authority to the Director of Planning & Transportation, acting in partnership with The London Gateway Port Limited (D P World) to progress detailed design and other work necessary to meet Department for Transport gateway requirements, allowing the drawdown of allocated funds. 1. Recommendations That Cabinet: 1.1 Authorises the Director of Planning and Transportation, in consultation with the Leader of the Council, to enter into an agreement with The London Gateway Port Limited (D P World) to make provision for, amongst other things, the Council to act as agent for D P World ( the Harbour Authority under the Harbour Empowerment Order 2008) in carrying out certain, identified, works required for the widening of the A13; 1.2 Authorises Officers, if required by the Department for Transport ( DfT ), to enter into an Agreement with the DfT with respect to funding to be provided by the DfT. 1.3 Approves the carrying out of a tender process for a contractor to undertake the A13 final design and works. 1.4 Delegates authority to the Director of Planning and Transportation, in consultation with the Leader of the Council, to award a contract for

2 consultancy services for the delivery of the A13 Widening Detail Design Package and other relevant design work. 1.5 Delegates authority to the Director of Planning and Transportation, in consultation with the Leader of the Council, to award a contract for final design and works for the A13 widening. 1.6 Approves the carrying out of a tender process to identify a contractor for the removal of flora and fauna as necessary and/or appropriate. 1.7 Delegates authority to the Director of Planning and Transportation, in consultation with the Leader of the Council, to award a contract for the removal of flora and fauna. 1.8 Authorises Officers, where necessary, to enter into contract(s) with Utility companies, for the diversion/protection/removal of utility installations subject to terms and conditions being approved by the Chief Finance Officer and the Head of Legal Services. 1.9 Authorises the Director of Planning and Transportation, in consultation with the Leader of the Council, subject to terms and conditions being approved by the Chief Finance Officer and the Head of Legal Services, to enter into any other contract(s) which is/are necessary for works to be carried out, in advance of the main widening works. 2. Introduction and Background 2.1 The A13 growth corridor is the largest single growth opportunity in the South East Local Enterprise Partnership (SELEP) area. It already benefits from major planned and committed private investments at The London Gateway Port ( 1.5bn), Purfleet ( 700m) and Canvey Gateway ( 110m).The A13 links the key port infrastructure of Tilbury and London Gateway Port with the M25 at Junction 31. It is vital for sustaining growth in one of the most dynamic regions in the UK and without investment it could impede growth across the wider UK economy. 2.2 While the A13 is utilised as part of the national road network, it is also at capacity. When fully operational, the two ports, which rely on the road, will generate 28,000 vehicle trips per day. Around 7,500 of these will be HGVs accessing London Gateway Port and its logistics park. Long-term congestion on this route will stifle confidence putting at risk long term investment both at port sites and onwards into the important commercial zones of Basildon and Southend-on-Sea. 2.3 A widening of the A13, from two lanes to three in each direction will alleviate congestion and accommodate the necessary growth in coming years. This has been identified by Thurrock Council as a fundamental requirement for sustainable development within the Borough. 2.4 In July 2014, Government announced a funding allocation for A13 widening of 5m for the development of the scheme plus up to 75m for delivery, as part

3 of the Growth Deal for the South East Local Enterprise Partnership, subject to due diligence and alignment with decision making on the preferred option for the Lower Thames Crossing. The Government announcement is included at Appendix 1 of this report. 2.5 The total scheme funding is to be provided from the Government funding and from The London Gateway Port Limited s development funds. In order to progress the scheme in advance of the 2016/17 funding it is recommended that funding from the London Gateway Port Limited s section 106 agreement/side letter is used to develop the scheme including the commissioning of detailed design work. 2.6 The London Gateway Port Limited s Harbour Empowerment Order ( HEO ) included work to the A13 (between the junction of the A13 with the A128 and the junction with the Manorway). The land acquisition powers under this Order expire in 2018, it is therefore important that Thurrock Council progress development work on the scheme without delay if it is to take advantage of these powers. 3. Issues, Options and Analysis of Options 3.1 The A13 Widening will be delivered as a partnership initiative between The London Gateway Port Limited and Thurrock Council. Powers, given by the HEO to the Harbour Authority, will allow the compulsory purchase of land required for the scheme. The land will be acquired in advance of the works to allow any pre-construction work such as structures, earthworks, environmental and relocation or protection of utility plant. 3.2 The project will be managed in accordance with nationally adopted project planning models recommended by the Government s Department for Business Innovation & Skills (BIS). A matrix project management approach, in accordance with the nationally accepted Prince2 model, has been established with an organisational structure comprising a Project Board, Project Manager and Workstream Leads for delivery. The Project Board includes the Director of Planning & Transportation, Heads of Service for Planning & Growth and Transportation & Highways, Head of Finance, The London Gateway Port Limited and senior officers from the Council s Legal and Procurement teams. 3.3 As a major transport scheme, the Government requires a transport business case to be produced in accordance with DfT guidance setting out the Strategic Case, Economic Case, Financial Case, Commercial Case and Management Case. The Economic Case requires the preparation of a value for money (VfM) Statement which covers the financial, environmental and social impacts. The project team will be required to use the Government s very comprehensive WebTAG transport appraisal process to inform the VfM Statement. 3.4 A commissioning report is attached at Appendix 2 of this report.

4 4. Reasons for Recommendation 4.1 The A13 Widening scheme is required to provide much needed capacity for this road. 4.2 The A13 Widening scheme will provide mitigation for some of the traffic impacts of the London Gateway development. 4.3 The Government has announced the provision of funding for scheme development. 5. Consultation (including Overview and Scrutiny, if applicable) 5.1 The scheme has been included in much of the planning and consultation for the London Gateway development which includes land acquisition. 5.2 Specific planning permission is not required for the highway widening but planning and the consultation associated will be obtained for any ancillary works as required. 5.3 A communication plan will be prepared for the scheme and that will include website information and a Public Exhibition will be held at a local venue in advance of the commencement of works. 6. Impact on corporate policies, priorities, performance and community impact 6.1 Thurrock Transport Strategy Policy TTS18: Strategic Road Network Improvements Where modal shift and network management are insufficient to tackle congestion on the Strategic Road Network, the Council will look to encourage additional capacity to reduce congestion, improve journey times, facilitate growth and improve access to key strategic economic hubs. The strategy includes: Currently, the need for major network improvements on strategic routes facilitate growth has been identified as: A13 widening of the section between the A128 and the A1014, partly to help deliver the London Gateway development. 6.2 The proposals set out in this report support the Council s Strategic Priority to: Encourage and promote job creation and economic prosperity

5 7. Implications 7.1 Financial Implications verified by: Mike Jones Management Accountant 7.2 Legal The A13 Widening scheme will be funded by the government announced funding and by contribution from The London Gateway Port Limited. Scheme development costs are included in the funding. At each procurement gateway the costs will be reviewed against the funding. Implications verified by: Sheila Saunders, Contracts and Procurement Solicitor, on behalf of Daniel Toohey Principal Corporate Solicitor The London Gateway Port Harbour Empowerment Order 2008 ( HEO ) The HEO came into force on 16 th May By part 2 of the HEO, The London Gateway Port Limited became the Harbour Authority in relation to the powers granted under the HEO. The HEO gives powers to the Harbour Authority to carry out a range of works described in the Schedules to the Order under Works descriptions and at locations identified on the Plans and drawings deposited and approved with the Order. These define lateral limits within which road improvement works can take place and vertical limits within which the works should be carried out. A future detailed design will need to take these limitations into account. These powers may be devolved by the Harbour Authority to the Council, as Local Highway Authority, by way of an express agreement. It is therefore proposed that the Council enters into an agreement with The London Gateway Port Limited (DP World), in reliance on the power of general competence contained in the Localism Act The agreement will provide for the Council to carry out Works, identified within the HEO, on behalf of the Harbour Authority. If any works are required, which are not authorised by the HEO, the Council may use powers granted to it as a Local Highway Authority. (See below under Highways Act 1980 ) Further, Schedule 12 of the HEO identifies land that may be acquired Compulsorily. Thurrock Council cannot, itself, use the compulsory acquisition powers granted by the HEO; these CPO powers reside in The

6 London Gateway Port Limited. It is envisaged that the agreement, to be entered into between the Council and The London Gateway Port Limited will, also, address the subject of compulsory purchases by London Gateway. It is interests which are identified within the HEO and which are necessary for the authorised works which may be acquired. If further land is needed it will have to be acquired by private treaty or separate CPO procedures, using the Council s own compulsory acquisition powers. For this reason, counsel has advised that it is important for the Council to ensure, at an early stage, that the identified plots are sufficient to carry out the A13 widening works. The powers of compulsory acquisition must be exercised within 10 years of the HEO coming into force (i.e. before 16 th May 2018). This factor introduces another basis of urgency for commencing the A13 widening project. Highways Act 1980 The Act gives the Council a general power to carry out work to improve the highway for the use or protection of persons using a highway and the construction and reconstruction of bridges; the Council may, also, alter or remove any works executed by the Council under this section. Public Contracts Regulations 2006 (as amended) These Regulations implement European procurement rules into domestic law. (They will be replaced by new Regulations late this year/early next Year). Any public service contract or public works contract, which arises from/which is part of the A13 widening project, must comply with European procurement rules and with the principles of the Treaty on the Functioning of the European Union. Government Funding At the time of preparation of this report the, specific, provisions (including any conditions and/or restrictions) which will apply to the Government Funding are not, yet, available to Officers. Legal Services are able to advise on legal issues relevant to the project and will prepare relevant contracts/agreements (including the proposed agreement with The London Gateway Port Limited). 7.3 Diversity and Equality Implications verified by: Teresa Evans Equalities & Cohesion Officer There are no direct implications arising from the report, however any diversity issues that arise will be fully addressed in the scheme development. The widening of the A13 so that it can cater for proposed traffic will reduce the risk of traffic being diverted onto less appropriate local roads.

7 7.4 Other implications (where significant) i.e. Staff, Health, Sustainability, Crime and Disorder) There are none at this stage. 8. Background papers used in preparing the report (including their location on the Council s website or identification whether any are exempt or protected by copyright): Thurrock Transport Strategy ransport_2013.pdf July 2014 Planning, Transport and Regeneration Overview and Scrutiny Committee ewmeetingpublic/mid/397/meeting/2487/committee/419/default.aspx July 2014 meeting of the Standards & Audit Committee ewmeetingpublic/mid/397/meeting/2492/committee/426/default.aspx July 2014 Cabinet ewmeetingpublic/mid/397/meeting/2460/committee/402/default.aspx 9. Appendices to the report Appendix 1 Government Funding Announcement July 2014 Appendix 2 Commissioning Report Report Author: Les Burns Chief Highways Engineer Transportation & Highways