Agenda item

Land Assembly Progress & Land Acquisition Capital Expenditure Budget Forecast

Minutes:

The Board considered a report of the Chief Executive which gave Members the progress to date with the acquisition of land required for the Mersey Gateway by agreement and the proposals for acquisition of land using Compulsory Purchase Orders (CPO)/Transport and Work Act 1992 (TWA) powers.  The report also advised of the issues regarding the management of property acquired and advanced works that were required prior to hand over to the Concessionaire.

 

   The Board was advised that the total land area required to construct and operate the Mersey Gateway scheme, together with associated infrastructure and highway improvements, was approximately 156.74ha. At the outset of the Project, the Council either owned or had a legal interest in approximately 62.4ha. This land was made up, in the main, of existing highways, footways and verges together with disused plots such as part of the former St Michael’s golf course at Widnes.

 

The Board was further advised that by resolution of the Mersey Gateway Executive Board on 19th May 2008, the Council had adopted a policy within the Mersey Gateway Relocation Strategy which formed the basis on which the Mersey Gateway Team had progressed with acquisitions in advance of CPO/TWA. In accordance with the Mersey Gateway Relocation Strategy and guidance provided in Government Circular 06/2004 the Council sought, wherever practicable, to acquire interests in land by agreement and enter into agreements for acquisition, and in appropriate cases did so. These negotiations were conducted in parallel with the compulsory purchase process.

 

It was reported that in advance of the start of the Public Inquiry the Council had acquired a number of interests in land required and entered into agreements with other parties set out in the report. 

 

Furthermore, in the period after Public Inquiry, the continuing land assembly strategy was to:

 

·         Continue with the agreements for acquisition/relocation in accordance with the obligations within the agreements;

 

·         Completion of acquisitions/agreements where terms agreed;

 

·         Assess the remaining businesses for relocation where there was potentially a need to acquire in advance of CPO, to allow sufficient time to physically relocate, having regard to the need for early possession on complicated sites; and

 

·         Formulate land assembly strategy consistent with the procurement process and timetable.

Following the Public Inquiry the Mersey Gateway Team entered into two further agreements detailed in the report.

           

            It was also reported that The Council had commenced the exercise of the relevant compulsory purchase powers enabled by the CPO and the made Order under the TWA. These powers allowed the Council to acquire the remaining land which was necessary for the Project.  The Council had also served the preliminary notices in the CPO process on the parties affected by these Orders in two stages.  In addition, it was reported that the Council now owned or had agreed rights for over 63% of the land required.

 

The remainder of the land required for the scheme would be acquired by the serving of three further General Vesting Declarations, which would cover the investment landowners, operational businesses to be relocated and minor parcels/severed land. This would be undertaken in a phased approach to ensure affected businesses were given the maximum time possible to relocate and it was now expected to commence in October 2011

However, it was reported that there were a number of elements of advanced works which needed to be undertaken in the period between acquisition and handover. The key elements were:

·        The relocation of the primary substation at Ditton Road by SP Manweb;

 

·        Pre-construction engineering and environmental surveys;

 

·        Remediation of contamination at Catalyst Trade Park; and

 

·        Enabling Works.

 

The Land Acquisition budget had been set at £86m, and had not been increased since being originally agreed. This budget was expected to cover the principle elements of:

·        The acquisition of the land required, including disturbance payments, SDLT and fees;

·        Property management, including demolition of buildings prior to handover to the Concessionaire;

·        Advance works, including ground investigations and remediation of contaminated sites;

·        Section 10 Claims, as outlined in the report; and

·        Part One Claims, as outlined in the report.

   In conclusion, it was reported that the Council’s land assembly strategy would ensure that all land required for the scheme was in the Council’s ownership by the time of the selection of Preferred Bidder.

 

The following comments arose from the discussion:-

 

·  Xx

·  Xx

·  Xx

 

RESOLVED: That the progress made in assembling the land required for the Mersey Gateway be noted.

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