BARNSLEY METROPOLITAN BOROUGH COUNCIL

Transcription

1 BARNSLEY METROPOLITAN BOROUGH COUNCIL This matter is not a Key Decision within the Council s definition and has not been included in the relevant Forward Plan Joint Report of the Director Finance, Assets & Information Services & the Director Place BETTER BARNSLEY REGENERATION UPDATE 1. Purpose of report 1.1 This report provides an overall update on the Better Barnsley project, sets out the process for producing business cases for key elements and requests approval for the authority to appoint the main contractor to deliver the scheme. 2. Recommendations It is recommended that: 2.1 Cabinet note the progress made in the delivery of the Better Barnsley project and associated budget. 2.2 Cabinet agrees the detailed budgets for the elements of the scheme as identified in Appendix A to the report and the approved capital programme be amended to reflect the revised spending plans. 2.3 Cabinet released the 2016/17 earmarked reserves/prudential borrowing (16.55m) previously allocated to the Better Barnsley Scheme and notes the release of 2017/18 earmarkings will be subject to a further report in The Director Finance, Assets & Information in consultation with the Cabinet Spokespersons for Place and Finance, Assets & Information Services is delegated to accept the tender for the appointment of the main contractor to deliver the scheme. 2.5 The Director Legal and Governance is given authority to appoint the main contractor to deliver the scheme and enter into contract documentation. 2.6 That the Director of Place brings forward business cases for the future use / benefit maximisation of the Metropolitan Centre, Public Realm and Town square and Car Parking 2.7 The Acting Director of Communities brings forward a business case for the future use / benefit maximisation of the Library. 1

2 3. Introduction 3.1 In February 2014, Cabinet resolved to terminate the Development Agreement between the Council and the 1249 Regeneration Partnership in regards to delivery of the Marketplace Barnsley scheme, and to seek alternative solutions to secure the long term enhancement and revitalisation of the town centre. 3.2 The Council meeting on 6 February 2014 approved that the Council would work with key stakeholders to advance development proposals for Barnsley town centre, within a financial envelope of 35M from the Medium Term Financial Strategy, to secure the revitalisation and enhancement of the town centre. 3.3 The Council Meeting on the 3 December 2014 approved that the Better Barnsley Town Centre Prospectus be approved along with ring-fencing of a further 15m of strategic reserves to provide sufficient financial capacity to deliver the required scheme. 3.4 This Council is now delivering on its promise to create a revitalised town centre with new leisure and retail opportunities, a new central library, new public realm and the market located in the heart of the town centre. In the past 21 months the Better Barnsley project has made significant progress, moving from an initial prospectus of ideas, to securing outline planning permission and now starting to deliver the works on site. 3.5 The next major milestone for the project will be the appointment of the main contractor to deliver the Better Barnsley scheme. In addition, work is also progressing in parallel on other key work packages. As such, whilst this report provides an overall project update, it is proposed that a further set of reports setting out the business case for each key element will be brought back to Cabinet in due course. These are: Metropolitan Centre (including market rents strategy) Library Public Realm and town square Car Parking 3.6 These business cases will set out not only the plan for the development of the assets themselves, but also how the Council will position itself in order to maximise the benefits. 3.7 In addition, the appointment of a Development Management Organisation (DMO) is proceeding in parallel to these elements, with further reports to be brought to Cabinet at key milestones. 4. Consideration of alternative approaches 4.1 This approach to deliver the Better Barnsley project was agreed by Cabinet after the previous scheme working in partnership with a private developer partner failed to raise sufficient funds to commence the project. The Council remains fully committed to the Better Barnsley Scheme including all of its previously approved individual elements. 2

3 As such, whilst there are no alternative approaches being considered for the wider scheme, each of the separate work package business case will set out options for the Council to consider, where appropriate, for the delivery of those elements. 5. Proposal and justification 5.1 It is proposed that the Director of Finance, Assets and Information Services in consultation with the Cabinet Spokespersons for Place and Finance, Assets & Information Services is delegated to accept the tender for the appointment of the main contractor to deliver the Better Barnsley scheme. This appointment will enable the Council to work with the successful contractor on the delivery of the key elements of the scheme: Metropolitan Centre Library Public Realm and town square Car Parking Bridge Appointment of the Main Contractor 5.2 A contractor is being sought to deliver the construction phase of the Better Barnsley scheme. The procurement route selected is an open price/quality (60%- 40%) tender to select the main contractor partner to construct the key elements of the scheme. 5.3 Large multiple site projects benefit from early engagement of a main contractor through partnering. This provides efficiencies thorough total project co-ordination, management and input to the design development process. 5.4 The benefits of partnering are far reaching and draw out optimum benefit for the project due to working in a collaborative arrangement based upon mutual trust, where the client and contractor share the same desired project outcomes. The contractor is engaged early in the detailed design process and has the time to give advice to the designers in respect of buildability and practical solutions and more economical materials that are available in the marketplace. 5.5 It is envisaged that the successful contractor will be a full member of the project team. The contractor will be required to provide a permanent presence in Barnsley throughout the scheme duration to deliver support, stakeholder engagement and promote the Better Barnsley scheme. The contractor will be a vocal and visual advocate of the Better Barnsley Project and provide added social value such as a Better Barnsley Bond. The tender appraisal process is already underway with an appointment recommendation to be made early February

4 Demolition 5.3 The demolition contract was awarded to Hague, a Sheffield based contractor. This included the demolition of: Carpetworld Central offices Multi storey carpark Multi storey car park ramps Markets offices and pram ramp TEC Centre & Kendray Street shops 5.4 Progress to date has included the demolition and clearance of the Carpetworld site, which is now being utilised as a site compound for Hague. A small area of the site has been released back to the Council to provide a temporary car park. The Kendray street Bridge has been demolished and the long reach demolition of Central Offices started on the 16th November and is due for completion by January 2016, enabling work to start on the building of the temporary market. 5.5 Post scheme completion it is proposed that the Carpetworld site could be put to a temporary use, most likely car parking until the site is required for redevelopment. A nominal sum of money has been included for minimal remediation. 5.6 Alongside the demolition, the contract for the removal of the asbestos from Central Offices and the TEC Building was awarded to AAWoods. This work is now complete. The asbestos removal works and the demolition of the buildings on May Day Green (new library site) are currently separate to the Hague demolition contract and may be delivered by the main contractor. Metropolitan Centre 5.7 The refurbishment, partial demolition and extensions to the Metropolitan Centre form part of the main contractor package of works. The appointment of the main contractor will be completed in January The tender process is currently underway. 5.8 The design for the Metropolitan Centre is currently part way through Royal Institute of British Architects (RIBA) stage 3 (developed design) which is due to be completed in March. The current design includes the construction of a new double height, glazed market hall entrance atrium providing a new front door to the proposed new public space. The current Poundland shop will be converted from a retail unit into the new market hall along with a relocated meat and fish market. The building will be reconfigured to make better use of the atrium and roof lights, creating a rationalised, more legible circulation strategy focused on natural ways of moving through the building guided by natural light wherever possible. The design also includes the creation of new retail space fronting onto the proposed new shopping boulevard Following a detailed review of the structural implications of the project it will be essential for strengthening works to be undertaken to some areas of the site which could include removing the ground floor slab on Market Parade and 4

5 concrete frame below to form a new structure including foundations at basement level to future proof the use of this area Alongside the redevelopment of the Metropolitan Centre asset, a business case will be produced to set out how the new market will retain and attract traders to widen the existing product offer and maintain income target levels Included within the Metropolitan Centre budget is the creation of a temporary market to house the traders from the semi-open market who need to be relocated to facilitate the demolition of the multi storey car park. Planning permission is in place for this building, with traders due to be fully moved into this new facility by July The temporary market will be made from large lightweight metal frames that allows for a variety of stall types and sizes (84 stalls in total). It will also house a café and public toilets. The main entrance will be on May Day Green with another entrance located on Kendray Street. Work has started on the detailed design of the building structure with floor plans complete and stalls have already been allocated to traders. Demand for space has been high and a waiting list is in place. The Library 5.12 The building of the new library will form part of the main contractor package of works. The design for the new Library is currently part way through RIBA stage 3 (developed design) which is due to be completed in March. The new Library building will facilitate a step change in the way the Council delivers customer service, in addition to being a key destination in Barnsley s new town centre encouraging visitor footfall The new library building will be modern and distinctive, almost entirely transparent, and at night light will flood out from the library into the new town square giving a beacon effect in support of a vibrant evening economy. Reflecting the modern design of the building, services will be delivered in a fresh new way which will meet public expectation and be sustainable for the Council and partners over a long period The building will be designed to be accessible for all, and to attract people who may not have previously used a library, or may have specific needs. For example, it will provide a changing place facility, and will feature a sanctuary space for those people who may need a safe, quiet and peaceful place to go. The building has 3 floors and a roof terrace. The detailed design of the facilities on each floor is currently in progress and work has started on a business case for the library reviewing the services that will be on offer and ensuring that the building is future proofed to adapt to changes in customer needs. Included in the costs for the new library is the provision of a 1000sqm retail unit to complement the services to be provided from the library. 5

6 The Public Realm 5.15 The creation of the new public square will form part of the main contractor package of works. The public realm works are currently at the start of RIBA stage 2. The main focus of this work is a new public square on the Central Offices site and surrounding streets. The square will be built once the temporary market building is no longer required. The square will include the outdoor market, with approximately 40 permanent market stalls and a water feature. It will also provide seating, landscaping and an area for events The public realm proposals also include the development of two new shopping boulevards to create a shopping circuit around the Metropolitan Centre linking Cheapside and the public square to the new development sites There is no provision within the overall Better Barnsley budget to accommodate the full range of public realm works to Cheapside and the new development sites as this was not envisaged in the original proposal set before Cabinet. It is therefore proposed to bring a more detailed business case back to Cabinet in 2016 with proposals on how the above public realm works will be completed. Other Works 5.18 Alongside the main elements of the project outlined above, there are also a number of smaller work packages which are primarily associated with supporting works To enable the potential closure of the Jumble Lane crossing, a new service/access road into the Metropolitan Centre basement would be required. The service road would be accessed from Lambra Road and lead into the existing basement. Initial designs have been completed. This work is currently on hold as it cannot be completed until the demolition of the multi storey car park and ramps is complete Work on the new CEAG car park commenced on the 16th November and is expected to be completed in March The work includes the construction of a 170 space car park, boundary treatments, landscaping, a feature light wall and a solar PV canopy. It is still intended that the new car park will be accessed via a new bridge over the railway line. Negotiations with Network Rail are ongoing. The bridge is not included in the current budget as it was not envisaged in the original scheme set before Cabinet. However, depending on the outcome of the negotiations with Network Rail, a further report will be brought to Cabinet outlining how the new bridge could be funded November 2014 saw the temporary relocation of the outdoor market. 40 new stalls were erected in the pedestrian precinct to enable the demolition of Central Offices to take place. The stalls trade 6 days a week and are temporary for 3 years. The relocation cost included Highway enabling works and the manufacture and installation of the stalls by local firm Parkway Sheet Metals. 6

7 5.22 Given the location of the project in the heart of the town centre there are potentially significant implications for the relocation of statutory undertakers equipment. Where possible the building design will try to avoid unnecessary relocation costs but this will not always be an option Changing the layout of the town centre has an impact on the existing CCTV provision. As part of the project ongoing liaison is taking place with South Yorkshire Police to ensure that the required CCTV coverage is maintained and that new CCTV cameras are provided if required The acquisition of the former TEC building and associated retail units has been previously agreed by Cabinet. The purchase of the asset is now complete and vacant possession of all but one retail unit has now been secured. The remaining tenant is currently in negotiation to relocate and new premises have been identified. Vacant possession should be completed early Development Management Organisation 5.25 Following approval from Cabinet a procurement exercise to select a development management organisation (DMO) is underway. The DMO will coordinate the first stages of the development process to build the new retail/ leisure units on the cleared sites created by the Better Barnsley scheme. Specifically the DMO will: Design and secure planning permission for the new retail and leisure units. Secure pre lets from retailers / leisure operators. Secure private sector investment to construct the new retail and leisure units. Pre-qualification questionnaires from DMO companies are currently being evaluated with the successful DMO due to be appointed in February Alongside this procurement exercise soft market testing is ongoing to identify potential end users for the scheme. Specifically, dialogue is underway with a number of cinema operators who have expressed interest in investing in Barnsley. This process will be continued as part of the overall letting strategy once the DMO has been appointed. 6. Implications for local people / service users 6.1. The Better Barnsley scheme will have a significantly positive impact for Barnsley residents. It will create a vibrant and modern town centre retail and leisure experience, which should in turn help to retain and attract in more shoppers who currently leave the borough to shop elsewhere. In addition, the new retail and leisure space is envisaged to create up to 1,300 new employment opportunities, which with the support of the Council, could be taken up by Barnsley residents Before the development is complete, there will be disruption to local people and businesses during the next three years. The project team are working hard to minimise the disruption by ensuring that regular communications are provided to the public detailing any changes and providing progress updates. 7

8 6.2 Regular town centre walkabouts are held particularly with vulnerable groups of service users who may find the disruption difficult to manage. These have proven very successful and have led to several mitigation measures being implemented to minimise the impact of the redevelopment works. 7. Financial implications 7.1 The full financial implications are detailed in appendix A to this report 7.2 Total resources of Million have been agreed for the Town Centre Development. The current estimated costs total Million. This report is not however seeking additional resources as a number of the costs within the wider scheme are estimated at this stage and will become clearer following the appointment of the main contractor. 7.3 The list provided below summarises the key elements of the scheme together with an update on the costs and position: Programme Headers Stage Budget M Demolition & Asbestos Removal Tender Former CEAG Site Car Park Tender Carpetworld Site Estimate Metropolitan Centre (includes library retail & fit out) Estimate Library Estimate Public Areas Paving & Features Estimate Highways Estimate Enabling Works Estimate Outdoor Market Relocation Final Statutory Authorities & Drainage Estimate CCTV Estimate Fees Agreed Other Non-Construction Costs (CPO) Sub Total - Construction Costs The above costs have been phased over the next 3 years. Resources have already been released as part of the 2014/15 and 2015/16 capital programmes to fund costs committed on the overall project to date. Approval is now sought to release the funding required for the 2016/17 phases of works. These works will be included in the 2016/17 capital programme report due at Cabinet in February

9 7.5 The West Yorkshire Combined Authority has recently approved a 1.76 million loan for 2015/16. This LCR Local Growth Fund investment will be used to replace existing borrowing in place for the Council s start up infrastructure costs, i.e. demolition on the Better Barnsley Scheme. It is important therefore to note that this funding is not new and only represents an alternative means of financing. 7.6 It should also be noted that as part of the full Better Barnsley Scheme there are a series of additional works relating to further public realm works and bridge works for which no resources have been set aside. The costs of these works are detailed below: Programme Headers Stage Budget M Additional Public Realm Works Initial Estimate Work to remaining Development Sites Initial Estimate Jumble Lane Bridge Initial Estimate Fees Initial Estimate Total Unfunded Works To the extent that these elements are to be progressed additional resources will need to be sought at this time with the Council s Reserves Strategy being updated accordingly. 7.9 Finally over and above the costs highlighted in paragraph 7.3, a further 1.8M has been set aside as part of the Jobs and Business Growth Plan to fund the procurement of a development manager to work with the council to secure private investment for the areas identified in the town centre plan for retail and leisure. A further update on progress against this wider project will be brought to Cabinet in due course 8. Legal implications 8.1 None arising from this report. 9 Employee implications 9.1 None arising from this report. 10. Communications implications 10.1 A communication plan is in place for the Better Barnsley scheme. The project team are committed to undertaking exemplar public consultation on the redevelopment proposals for Barnsley town centre and have prepared a detailed communication and consultation plan with the aim to: Increase borough wide awareness of the town centre development plans Develop and build positive relationships with Stakeholders Ensure that every stakeholder segment has the opportunity to inform the development plans 9

10 Engage with and seek the views of the local community Gain credible, constructive input from the local community to shape aspects of the proposals Involve the local community to create opportunities to contribute to the regeneration of the town centre Inform and shape redevelopment proposals that will create a sustainable future for the town centre. The communications and consultation plan is a living document which is regularly updated as each stage of the project progresses Press releases are issued as appropriate and information is provided to the public on the progress via social media and the Better Barnsley Newsletter It is proposed that once a DMO is appointed, they will jointly commission a third party public relations company, with the Council, who will then produce a comprehensive marketing and communications plan which will be used to promote the town centre in an holistic way. This will ensure key messages are the same for all forms of marketing activity i.e. promoting the town centre to new shoppers, trying to get people to continue to shop during the redevelopment, attraction of new retailers and investors. 11. Consultations 11.1 A consultation process has been utilised to help the community and stakeholders shape the scheme and to generate an informed debate on the proposals. The involvement of the community and stakeholders is a critical part of the development process for Barnsley town centre. The consultation work on this scheme started in summer 2014 and will continue throughout the redevelopment of the town centre Key communication activities and events: Better Barnsley Shop A dedicated drop in shop for the project is situated in the centre of Barnsley. It displays all the plans and proposals for the redevelopment and provides the opportunity for members of the public to give feedback and ask questions. The shop is open 10am - 5pm Monday to Wednesday and Friday to Saturday. The Better Barnsley Ambassador is on hand to answer visitor s questions and pass on the latest information on the project. The shop also hosts a variety of events and acts as a consultation hub for BMBC and our partners. All the feedback from the drop in shop is collated by the project team to inform the development of the project. Website There is a dedicated webpage for town centre development (Better Barnsley), with regularly updated information and links to the weekly newsletter. Opportunities for consultation are promoted here. 10

11 Newsletter A weekly electronic Better Barnsley newsletter is published and the link to it shared with local media and council colleagues. The Newsletter has a circulation of readers who are predominantly local residents and businesses. The newsletter provides an update on the progress of the project, the team involved and events and activities taking place in the town centre. Printed copies of the newsletter are displayed in the Better Barnsley shop. Social media Regular updates and news items are shared via the council s Facebook and Twitter accounts. Any comments are shared with the development team. The project specific Twitter Page has 1230 followers; it is updated on a daily basis to keep people informed of the latest news about the project. Targeted events Regular meetings, presentations and workshops have been held with the consultees and stakeholders. A series of town centre walkabouts have also taken place to give people the opportunity to discuss existing issues in the town centre and to gain a better understanding of the redevelopment proposals and how they integrate into the town. All the feedback from these targeted events is utilised by the project and design teams to inform the development of the project. The public and stakeholder consultation undertaken to date has proved invaluable to the project delivery team. The feedback provided to date has helped to shape the details of this outline planning application. The scheme has been presented to the Barnsley Urban Design Review Advisory Panel. The feedback from the panel has also been incorporated into the development of the proposals at the outline application stage. The consultation has highlighted strong support for the project from both the local and wider community and from the various stakeholder groups. In terms of informing the proposals: The relocation of the markets to be more visible at the front of the Metropolitan centre with the open market in the adjacent public square is viewed as being critical to recreating Barnsley as a Market Town. An overwhelmingly positive response has been received in relation to the creation of a large public square for events and to increase dwell time in the town centre. Improvements to public spaces have been very favourably received with requests to include a new water feature and increased planting and greenery. The feedback has highlighted strong support for the location of the new central library at the head of the public square. 11

12 There is clear demand for an improved retail offer in the town centre, with major high street chains being requested to complement the markets and retail offer. Space for the provision of food outlets such as cafes and restaurants have also proved popular. The opportunity to create leisure uses within the town centre has been well received with many consultees commenting on the lack of leisure facilities currently available in the heart of the town. The demolition of the vacant 1970 s former council offices has met with widespread support. Although the majority of consultees have indicated that they are supportive of the current proposals there are some concerns over the impact on car parking due to a loss of parking spaces in the Metropolitan centre Multi-storey carpark. Other frequent concerns raised during consultation include issues with anti-social behaviour in the town centre and cleansing and maintenance issues. The project and design teams will continue to consult with the community and stakeholders to ensure that views and issues where relevant and possible are taken on board and incorporated into the scheme evolution. It is considered that the consultation undertaken to date has played a valuable role in the preparation of the proposed scheme. 12. The Corporate Plan and the Council s Performance Management Framework 12.1 This proposal supports the Corporate Plan objectives of creating a thriving and vibrant economy and creating strong and resilient communities. We will achieve this through delivering the following outcomes as part of the wider Better Barnsley scheme: Develop a vibrant Town Centre Create more and better jobs and good business growth Strengthen our visitor economy Protecting the Borough for future generations 13. Tackling health inequalities 13.1 No issues arising from this report. 14. Climate Change & Sustainable Energy Act The Better Barnsley scheme has aspirations to respond positively to local and national sustainability requirements. Sustainability is embedded throughout the scheme and includes all aspects of sustainability including social and economic sustainability as well as environmental sustainability. 12

13 14.2 The CEAG car park scheme contains solar PV panels that will offset the energy use on the street lighting and light wall feature. 15. Risk management issues 15.1 There is a comprehensive risk register for the project which is reviewed and updated on a regular basis in consultation with the Corporate Risk Manager. Risks are reported on at bi-monthly board meetings The overall risk to the Council in financial terms is considered to be minimal and costs will be managed within the overall project budget for the key elements to be delivered by the Council. 16. Health, safety, and emergency resilience issues 16.1 All health and safety matters in respect to the development will be addressed as part of the obligations placed upon the main works contractors. 17. Compatibility with the European Convention on Human Rights 17.1 No issues arising from this report. 18. Promoting equality, diversity, and social inclusion 18.1 The Town Centre Delivery Team are working closely with the Equality and Diversity Team. We understand that anyone with disabilities can face all kinds of challenges using the town centre. The project team will incorporate feedback from consultation sessions with disability groups Engaging with disabled people in our consultative process demonstrates our commitment to and valuing of, the disabled visitor/customer/user. As well as gaining insight into the more universal access issues, involving disabled people will bring more site-specific knowledge to the auditing process. 19. Reduction of crime and disorder 19.1 The Council is collaborating with the Police to address anti-social behavior across the town centre. Good, safe design principles will help and assist this work going forward A Period of consultation is currently ongoing to consider the introduction of a Public Spaces Protection Order. The aim of the order is to provide the necessary powers to introduce restrictions upon activity and behaviours deemed to be antisocial and occurring in public spaces. The implementation of the PSP order (should that be the decision of Cabinet) would aim to improve the quality of life and experience for residents, businesses and visitors to the town centre and surrounding residential areas. 20. Conservation of biodiversity 20.1 Biodiversity issues are being addressed in the planning and design process. 13

14 21. Glossary 21.1 Not used. 22. List of appendices Appendix A Financial Appendix 23. Background papers Officer Contact: Jeremy Sykes Telephone No: Date: 26/11/15 Financial Implications / Consultation (To be signed by senior Financial Services officer where no financial implications) 14