Agenda item

Following a report to Cabinet in July which looked at the strategic rationale for the A38 Major Scheme, Cabinet considered a report which sought commitment to Package 1 and detailed the funding strategy.

The Cabinet Member with Responsibility for Highways introduced the report and explained the scheme was almost entirely externally funded. No planning permission was required, there was no need to go out to tender and the contractor was already in place. An addition to the Capital Programme was proposed on the understanding that all funding would come from external bodies. It was important to agree to the scheme to allow the programme to be adhered to and to show the commitment of the County Council.  The scheme would directly address the housing and employment growth in the area.

In the ensuing discussion the following main points were raised:

·       A Member from outside the Cabinet pointed out that any investment in highways was welcome but as resources were tight investments needed to make the most impact. He was concerned that most development had happened in the West of Bromsgrove yet the highways investment was being made to the East, which would leave traffic having to travel through the congested town centre. Improving junctions, but not the entire A38, would just move the bottlenecks to somewhere else.  There was also a question about the validity of the S106 agreements so there was no certainty that the funding was in place.  In response the Leader explained that the strategic overview and discussion on what should be included to relieve congestion had been dealt with at the last meeting and this report was just about approving package 1 and where the funding would come from. The scheme was to deal with current problems as well as mitigate issues which would arise from the new large developments

·       The Leader declared an interest as he sat on the Midlands Connect Board and they considered that the scheme was one of the few major projects across the Midlands which should be considered for Major Road Network Funding from the Government

·       A Member from outside the Cabinet felt the Council should be sceptical about when the s106 monies could be secured as the Scheme could be left with a substantial funding gap.  He also reiterated the importance of putting in yellow boxes on the Oakalls junction which would save money in the long term

·       The Leader responded that the Director would answer the point about yellow boxes after the meeting. He felt the funding issue had been addressed in the report and the risk was recognised but it was necessary to weave together a number of funding streams to complete the project. It was important to provide the right infrastructure as congestion would have an impact on the daily lives of people living in that area.

RESOLVED:that Cabinet

(a)  approved the implementation of the A38 Bromsgrove Major Scheme -Package 1, in accordance with this report, the Conditional Approval Business Case (CABC) and as shown in the attached plans (Appendix A) subject to the approved design and certainty of funding;

(b)  delegated authority to the Director of Economy and Infrastructure, in consultation with the Cabinet Member with Responsibility for Economy and Infrastructure, to finalise and award the contract and other necessary agreements to deliver the Package 1 project;

(c)   approved the Director of Economy and Infrastructure entering into such delegation agreements with Highways England as were required in order to enable the Council to exercise Highways England's powers of land acquisition in relation to Package 1;

(d)  approved the acquisition of land required for elements of Package 1, as indicated on the red line plans (Appendix B), and delegated authority to the Director of Commercial and Commissioning, in consultation with the Cabinet Member with Responsibility for Economy and Infrastructure, to agree any necessary changes to the red line, land or rights to be acquired including additional land and/or rights;

(e)   authorised acquisition of necessary land and rights over land through the making of Compulsory Purchase Orders (CPO) should it not be possible to acquire all the land by negotiation, and authorised the Director of Commercial and Commissioning, in consultation with the Cabinet Member with Responsibility for Economy and Infrastructure, to finalise the details and make such a CPO including any compulsory acquisition of rights required for the scheme, and authorised the Director of Commercial and Commissioning to approve any Statement of Reasons in relation to the land, that must accompany any CPO submitted for the confirmation to the Secretary of State for Transport, and noted that this would be approved prior to making of the CPO;

(f)   recommended to Council the addition of £6.3m to the Capital Programme for Package 1 on the understanding that this was fully funded by external funding sources, namely Greater Birmingham and Solihull Local Enterprise Partnership (GBSLEP), Highways England's Growth and Housing Fund (GHF) and developer contributions through Section 106 contributions, with the Worcestershire Local Enterprise Partnership (WLEP) contribution of £1.3m having already been included in the approved Capital Programme;

(g)  delegated authority to the Director of Economy and Infrastructure to enter into grant funding contracts and related agreements with GBSLEP, WLEP and Highways England and/or their successor bodies to facilitate delivery and funding of Package 1 as may be amended;

(h)  approved the need for forward funding of developer Section 106 contributions; and

(i)     supported the commencement of public engagement and stakeholder management exercises with Highways England and other organisations as required.