Brinckerhoff (March 2014) 1 Transport Annex, Report 5, A30 Carland Cross to Chiverton Cross Business Case: Parsons

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1 Scheme/Package A30 Carland Cross to Chiverton Cross 1 The Challenge Journey time reliability of the A30 strategic route Journey time increases and variability are constraining economic growth to the west of the single carriageway sections of the A30 in Cornwall. This is impacting on business productivity, competition and investment. Congestion on the strategic road network Significant levels of congestion can be expected on the strategic road network in Cornwall by 2026 if there is no investment in the network. The annual gross domestic product cost to the Cornish economy as a result of a lack of investment in the transport network could be as much as 300m. Connectivity to economic markets throughout the UK An effective and comprehensive strategic road network to the rest of the UK to address Cornwall s peripherality and lower transport costs are important to ensure effective competition against other areas in the UK. Safety on the strategic network High demand for turning movements across the A30 is leading to significant queuing that results in drivers on the A30 stopping to give way to these conflicting movements, something usually only seen on local roads. This stationary traffic is creating safety issues. Strategic rationale Cornwall does not have a consistent standard of provision on its key and description strategic road - the A30. Two sections of single carriageway between Carland Cross and Chiverton, north of Truro and between Temple and Higher Carblake, east of Bodmin form a constraint to the capacity of the route, often causing congestion which leads to inconsistent and variable journey times. Cornwall has been proactive in addressing these constraints on growth and is currently leading the delivery of a 59m project with the DfT to provide dual carriageway between Temple and Higher Carblake. Cornwall proposed a unique delivery arrangement whereby it would deliver the scheme for less than the Highways Agency scheme, secure 50% of the capital cost the scheme and would underwrite the cost if the DfT provided 30m, half the estimated costs. Cornwall and the Isles of Scilly have worked closely with the Highways Agency on improving the A30 and continue to work with them in the development of the Route Based Strategy for the A30. Cornwall will undertake the same delivery arrangement for the A30 Carland Cross to Chiverton to address congestion and safety issues. It will locally deliver a lower cost scheme and secure a large percentage of the funding locally to reduce the cost to the Government, but it will be reliant on match funding to deliver an infrastructure project of this size. Cornwall has shown that it can deliver large highway projects and Cornwall Council will take the lead on delivering the scheme in exactly 1 Transport Annex, Report 5, A30 Carland Cross to Chiverton Cross Business Case: Parsons Brinckerhoff (March 2014)

2 the same way as it has for Temple to Higher Carblake, working closely with the Highways Agency. It is important to maintain the professional capacity and skills to deliver transport infrastructure in Cornwall, as this resource is not as readily available locally and has taken time to put in place the capacity. The existing team will be moved onto the delivery of the A30 Carland Cross to Chiverton project on completion of the A30 Templelater this year. The main works will be programmed over the period and is likely to make some demand on LGF. It is important for Cornwall to have some advance certainty of the A30 Carland Cross scheme due to the timescales for delivering such a large scheme and the resources required. Summary offer Maintain a local skills base to deliver infrastructure improvements to enable Cornwall to deliver LGF, SIF and LTP projects to support the economy. Summary asks Early discussions with the DfT and Highways Agency on programming of A30 Carland Cross-Chiverton Expressway in the period. Work with the Highways Agency on the route based strategy to deliver a programme of improvements linked to economic and housing growth. Government benefits LGF costs and benefits Governance Delivers Highways Agency trunk road improvements cost effectively and more rapidly - reducing maintenance and running costs Improves journey time reliability and connectivity on the trunk road Improves safety for all trunk road users Reduces congestion and improves local air quality Delivers a BCR of Builds on and maximises the benefits of the previous 130m of Government, European and local investment in strategic highway infrastructure in Cornwall Brings major conurbations within easier reach through reduced and less variable journey times Enabling better use of local network capacity Improved resilience of the network by addressing safety issues PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Highways Agency 2 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014)

3 Senior suppliers: Technical Services Manager or Engineering Design Manager Cornwall Council, Cormac Solutions Contractor s Area Manager Project Manager: Engineering Design Manager or Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Solutions o OJEU Compliant Tender Procedure Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Carland to Chiverton Risk Allowance included in costs: 452,000 Risk Description Prob and Severity 1 Acquisition of land 9 x 5 9 x 1 2 Failing to achieve 6 x 5 planning approval 6 x 1 within time constraints 3 Unforeseen ground 8 x 2 conditions 5 Unforeseen services found during construction 5 Inappropriate contract administration and supervision staff 8 x 1 6 x 2 6 x 2 6 x 2 6 x 1 Probability and Severity ranked 1-5 Score Time/ Cost 45 (T) 9 (C) 30 (T) 6(C) 16 (T) 8 (C) 12 (T) 6 (C) 12 (T) 6 (C) Impact of occurrence Delays and extra costs Risk Value 50k Delays and extra costs Risk Value 12.5k Delays and extra cost Risk Value 90k Delays and extra cost Risk Value 30k Delays and extra cost Risk Value 30k Key milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility September 2014 February 2015 Stage 1 Preliminary Design March 2015 May 2016 Stage 2 Planning and Orders and June 2016 May 2018 Land assembly Stage 3 Detailed design June 2016 June 2018 Stage 4 Procurement June 2018 February 2019

4 Statutory Consents Stage 5 Construction January 2019 May 2021 Stage 6 Project Closure May 2022 Stage 7 Review and Monitoring Consent Required Planning Application / (Development Consent Order) Infrastructure Planning Rules 2010 Land Acquisition Side Road Orders Others: eg : Environmental Impact Assessment Protected Species Highways Agency S6 Agreement Environment Agency Consents Date/Current Status Submission 2018 Required through CPO Required Required Required Required Required

5 Scheme/Package(s) Bodmin Cycle Town 1 The Challenge Bodmin town is situated at one end of one of the highest used cycle The e routes in the country (the Camel Trail) and is also within close cycle distance of two recently upgraded cycle hubs at Cardinham Woods and Lanhydrock House (National Trust). Despite its location, Bodmin reaps little economic benefit due to the lack of connectivity between these significant cycle attractions and a poor quality, fragmented, town centre network. Strategic rationale and description The focus on joining up this sustainable network comes at a critical time as Bodmin is one of the few Cornish towns to fully support high housing growth through the emerging Local Plan. Bodmin is targeted with delivering 3000 dwellings between 2010 and 2030; this represents a 48% increase on its current stock; which represents the most significant growth rate of any town within Cornwall. The infrastructure network required to support this growth and manage the existing Air Quality Management Area in the town centre has been the source of recent significant contention amongst the town, particularly regarding new road infrastructure. The single, unifying proposal across the town s residents and businesses has been to develop a fully integrated cycle network that will support growth, improve economic productivity, manage air quality and put Bodmin firmly on the map as being a cycling destination.) Walking and cycling have been identified as the solution to Bodmin s growth challenges and that a delivery model can be developed that stimulates economic growth in the town and the surrounding area. Studies undertaken by DfT have shown that for every 1 spent on cycling, the local economy can expect to see a return in the region of 4 2. The delivery of a fully comprehensive joined up walking and cycling network, capitalising on the existing surrounding attractions, is key to uniting Bodmin and supports the high growth agenda, will manage current air quality issues, supports education expansion, stimulates economic growth and can provide a national model for creating the conditions for modal shift in a rural environment. The 3.4m investment will deliver a comprehensive cycle network for Bodmin, connecting the Camel Trail, Cardinham Woods and Lanhydrock creating the ultimate cycling destination in addition to a practical year round commuter facility. This is coupled with 2.8m investment to deliver network solutions to two strategic junctions, Church Square and Launceston Road/ Priory Road, supporting modal shift and directly unlocking housing and employment growth. The town is united in its overwhelming support for this investment. Through recent extensive public consultation to support the Town Framework Plan, it has been identified that there is great public, 1 Transport Annex, Report 7, Bodmin Cycle Town Business Case: Parsons Brinckerhoff (March 2014) 2 Get Britain Cycling (Adrian Davis) April 2013

6 Summary offer political and business support for the package including the extension to the Camel Trail into the heart of Bodmin town centre and on to Lanhydrock as a key to unlocking the economic regeneration of the town centre. The proposals have also recently been passed by Cornwall s Environment PAC committee (February 2014). Investment to secure a comprehensive cycle network for Bodmin provides a growth model, demonstrating how investment in sustainable infrastructure and capitalising on existing facilities can be used as a catalyst for economic growth. A relatively small capital investment will allow Bodmin to act as the test-bed for other rural towns to understand how investment in cycling and tourism based cycling can act as spark to regenerate a small town s economy. Summary asks 5.83m LGF allocation in 2015/16. Government benefits A town based test-bed for demonstrating sustainable transport investment as a mechanism for stimulating economic growth. LGF costs and benefits I 5.83m LGF leveraging +/- 21m complementary investment In summary, the LGF investment will provide the following benefits: A BCR of GVA benefits of 25.2m 4 A PVB of 9.480m 5 A PVC of 5.525m 6 Very high value for money 7 74,000 new cyclists in the town each year Supports and maximises the previous 3.8m of investment into cycling in the last 12 months An additional spend of at least 1.2m in the town centre a year as direct result (excluding overnight stays) Directly unlocks 1,003 houses and supports the modal shift required to deliver 3,000 dwellings through the Local Plan period Support the delivery of 536 new jobs as a result of new employment space Management of the AQMA at Church Square Support the expansion of St Petroc s School (the school is required to expand to accommodate the rise in places required in the immediate future but has severe access issues and access by foot and bicycle is essential). Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility; o reduced severance; 3 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 4 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014) 5 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 6 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014) 7 Transport Annex, Report 1, Section 5: Methodology: Parsons Brinckerhoff (March 2014)

7 o o o reduced accidents; improvements in air quality; and increased physical activity. Governance PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Sustrans Better Bodmin Representative LEP Representative Senior suppliers: Engineering Design Manager - Cormac Solutions Contractor s Area Manager Project Manager: Senior Project Manager Cornwall Council Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o o Direct delivery Cornwall Council Cormac Solutions Through Cornwall Council Capital Projects Framework Contract Cornwall Council will be the accountable body. Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Church Square Risk Allowance included in costs: 46,500 Risk Description 1 Unforeseen services found during construction 2 Inappropriate contract administration and supervision staff 3 Statutory undertakers diversion works delays 4 Lack of accuracy in Topographic Survey Prob and Severity 2 x 3 2 x 3 2 x 1 Score Time/ Cost 6 (T) 6 (C) 4 (T) 6 (C) 4 (T) 4 (C) 4 (T) 2 (C) Impact of occurrence Delays and extra costs Risk Value 2k Delays and extra costs Risk Value 2k Delays and extra cost Risk Value 2k Delays and extra cost Risk Value 250

8 5 Unforeseen ground conditions 1 x 2 1 x 6 (T) 6(C) Delays and extra cost Risk Value 500 Church Square Risk Allowance included in costs: 108,225 Risk Description 1 Statutory undertakers diversion works delays 2 Inappropriate contract administration and supervision staff 3 Poor co-ordination and programming of statutory undertakers 4 Change of project staff 5 Unforeseen services found during construction Prob and Severity 2 x 3 2 x 3 2 x 3 2 x 1 2 x 1 Score Time/ Cost 4 (T) 6 (C) 4 (T) 6 (C) 4 (T) 6 (C) 4 (T) 2 (C) 4 (T) 2(C) Impact of occurrence Delays and extra costs Risk Value 10k Delays and extra costs Risk Value 8k Delays and extra cost Risk Value 4k Delays and extra cost Risk Value 400 Delays and extra cost Risk Value 2k Probability and Severity ranked 1-5 Key milestones Cycle Schemes Risks not individually assessed due to minor nature of individual schemes. A generalised 5.6% risk allowance has been made within the costings. The allowance is derived from Monte Carlo Quantitative Risk Analysis of 8 separate cycle schemes within Camborne, Pool and Redruth. The P70 risk value has been used. Cycling Network Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and April April 2015 Land assembly (phased) Stage 3 Detailed design (phased) April 2014 April 2015 Stage 4 Procurement January 2015 March 2015 Stage 5 Construction (Phased) March 2016 April 2016 Stage 6 Project Closure (all May 2017 phases) Stage 7 Review and Monitoring April April 2019 Church Square

9 Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and Land assembly Undertaken under statutory powers, no land required. Stage 3 Detailed design March May 2015 Stage 4 Procurement June September 2015 Stage 5 Construction Nov May 2016 Stage 6 Project Closure May 2016 Stage 7 Review and Monitoring September September 2017 Launceston Road/ Priory Road Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and Land assembly Undertaken under statutory powers, no land required. Stage 3 Detailed design Oct Nov 2015 Stage 4 Procurement Dec April 2014 Stage 5 Construction May Nov 2015 Stage 6 Project Closure Nov 2015 Stage 7 Review and Monitoring April April 2017 Consents Cycling Network Consent Required Planning Application Land Acquisition Side Road Orders Others: eg : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Date/Current Status Required for some sections also use of GDPO Required for some sections Not required TBC TBC Not required Not required TBC

10 Scheme/Package Cornwall Bus Network 1 The Challenge Stability of the bus market in Cornwall The current bus network in Cornwall has been identified as unstable; nearing market failure. Reductions in bus service subsidies and infrastructure investment by both the local authority and operators, coupled with increasing operating costs being experienced by bus operators, has led to operators increasing fares in order to secure revenue. The result is a diminishing bus network with declining passenger numbers that does not meet the needs of Cornwall today and will be unable to meet the needs of Cornwall in the future. Providing a sustainable and affordable travel option in a rural area Following a 60% increase in bus patronage growth between 2004 and 2010, patronage is now declining (from 12.8m in 10/11 to 11.7m in 12/13) and funding for subsidising services is being reduced. These factors, coupled with increasing operating costs, have forced operators to increase fares; the two largest operators in Cornwall exhibit higher than average fares 2. Creating connectivity between Cornwall s towns The Local Plan to 2030 has identified permitted growth of 47,500 houses in Cornwall. As part of the Local Plan development work, town frameworks were developed for 13 towns in Cornwall which identify the employment growth in each town. The instability in these factors does not create the right conditions for growth. A significant increase in investment is required from both operators and the local authority to ensure that there is a bus network in the future that is fit for purpose and can meet the extensive growth demands that Cornwall is facing. Strategic rationale and description Economic and housing growth will create a greater desire to move around Cornwall and increase the need to travel. This will impact on the congestion levels in Cornwall and journey time reliability. Greater choice and travel options are needed to provide better utilisation of our existing transport resources. A viable and sustainable bus network of inter-urban bus services between the key commercial centres is vital to the viability of the towns and their proposed employment growth, linking businesses together and people to jobs. This will provide a realistic alternative in a rural area with a dispersed settlement pattern for the 17% of households that do not have access to a car 3. Cornwall aims to remove transport costs and the need for car ownership as barriers to accessing work and education. This involves a long term approach to tackle transport poverty in a rural area where activities and services are more widely dispersed, public transport 1 Transport Annex, Report 12, Cornwall Bus Network Business Case: Parsons Brinckerhoff (March 2014) 2 Parsons Brinckerhoff (April 2013) Network Stability Assessment 3 Connecting Cornwall:2030 Evidence Base

11 costs are high, information is inadequate, and services are infrequent or impractical 4. Forced car ownership is an issue in Cornwall whereby people on lower income levels in rural areas have no real transport alternatives to the private car; car ownership becomes an item of household expenditure that cannot be foregone 5. A stable and sustainable network will address this by making bus services more viable, allowing the subsidy to be redirected to support services that will increase access to jobs, education and services for rural areas, and reduce social isolation. The Cornwall Bus Network scheme will deliver a step change in the quality of bus services within Cornwall by providing new vehicles and improved infrastructure, creating and supporting a high quality, sustainable bus network between the key towns within Cornwall. The scheme will see the purchase of 35 new high quality vehicles that will be included in Cornwall Council s tendered contracts, thereby reducing the tendered cost of the appropriate bus services to the Council by removing the lease cost of the bus from the bus operators. The project will also boost the quality of the waiting environment through the continued roll-out of Real Time Passenger Information (RTPI) and improved roadside infrastructure making services more attractive to customers and increasing the number of fare paying passengers to reduce Cornwall Council s subsidy costs and stabilise the network. Additionally, Cornwall would like to consider a longer term, holistic approach to improving the network through exploring an area-based franchising model and, ultimately, a Transport for London style Cornwall-wide franchise. These types of model would grant greater governance powers to Cornwall Council to set the service standards required across the network. Summary offer A scheme consists of a potential 8m LGF investment in a 10m programme to provide 35 new buses and upgraded passenger facilities across the Cornwall network: The proposal builds on the 2.3m LSTF trial, and results in significant patronage and revenue benefits (from local bus route support tenders (+/- 500kpa) However, as part of the growth deal offer and ask, Cornwall wishes to consider this LGF bid against either institutional 'Transport for Cornwall' or area-based franchising alternatives. The Cornwall Bus Network scheme will deliver a long term, sustainable bus network utilising a new delivery model in a rural area. Cornwall would like the DfT to consider three options for delivering the improvements required to the bus network: 4 Sustrans (Sep 2012) Tackling Transport Poverty 5 Banister (1993) Internalising the Social Costs of Transport

12 Buying buses - the purchase of 35 new high quality vehicles that will be included in Cornwall Council s tendered contracts, thereby reducing the tendered cost of the appropriate bus services to the Council by removing the lease cost of the bus from the bus operators. Area franchises the division of Cornwall in to distinctive areas that would be tendered to bus operators. Operators would bid for all services contained within the defined area and be responsible for the operation of these services to a specified standard. Transport for London style franchise the tendering of the Cornwall bus network as a franchise where Cornwall sets the overall specified standard and level of service. Summary asks Government benefits LGF costs and benefits The Cornwall Bus Network scheme seeks 8m of local growth deal funding to ensure that the bus network is in a stable position to enable it to support and facilitate the access to employment, skills and services required by a growing economy. Cornwall also seeks the opportunity to negotiate with the DfT to establish Cornwall as a rural trial area for extended governance powers. This would allow Cornwall Council to set the required standard and service pattern for the bus network in Cornwall and ensure consistent quality across all services. Options around a Cornwall-wide model and an area-based franchise model are considered to be the best options to deliver a customer-focused bus network that is able to deliver the benefits of an improved network in Cornwall. Enables development of a successful model of improving rural transport provision affordably in a context where revenue pressures are rising inexorably. Successful trial of a new bus delivery model that improves rural transport provision and creates a long term, sustainable future for bus services in Cornwall. Total Cost: m LGF Cost: 8m BCR: Housing unlocked: 280 Jobs unlocked: GVA: 32.4m 8 Better accessibility through increased frequency of services Greater ability for people to access services and employment locally Enabling better use of local and national network capacity Increased access for businesses to new and existing markets Relieving the local road network and providing increased capacity through modal switch. 6 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 7 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014) 8 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

13 Governance PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Cornwall Council Economic Development Representative LEP Representative Senior suppliers: Bus operators Engineering Design Manager Cormac Solutions Contractor s Area Manager - Cormac Solutions Bus operators Project Manager: Senior Project Manager Cornwall Council Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Solutions Service Contract Procurement route: o Cornwall Council compliant Tender Procedures Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Risk Description 1 Bus market failure prior to implementation of the scheme 2 Scheme is in the early stages of project development 3 Failure to obtain operator support Prob and Score Impact of occurrence Severity 3 x 5 15 Delays and extra cost 3 x 3 9 Delays and extra cost 2 x 4 8 Difficult to execute without operator support 2 x 3 6 Extra revenue cost 4 Revenue funding pressures 5 State Aid 1 x 5 5 Extra cost Probability and Severity ranked 1-5

14 Key milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility May December 2014 Stage 1 Preliminary Design January May 2015 Stage 2 Planning and Orders and June October 2015 Land assembly Stage 3 Detailed design November 2015 February 2016 Stage 4 Procurement Vehicles & Infrastructure: March April 2016 Services: June August 2016 Stage 5 Construction Infrastructure: June - December 2016 Submission of service changes to Traffic Commissioner: January March 2017 Stage 6 Project Closure Services: April 2017 Stage 7 Review and Monitoring Statutory Consents Consent Required Planning Application Land Acquisition Side Road Orders Others: Traffic Commissioner Date/Current Status Not required Not required Not required Required An extended delivery model that includes area franchising or a countywide franchising approach will require a change in governance and statute, to be agreed by DfT.

15 Scheme/Package(s) Cornwall Gateway: A38 Carkeel 1 The Challenge Situated on one of two trunk roads into Cornwall, Carkeel junction accommodates local, inter urban and inter regional traffic travelling between Plymouth, Saltash, South East Cornwall and beyond. Already operating over capacity 2, Carkeel junction acts as a block on local development potential and a constraint to inter regional connectivity. It is estimated that the current annual cost of congestion at this junction is 1.2m 3. Whilst the Highways Agency (HA) have secured Pinch Point funding for an improvement scheme the small scale works will not provide enough capacity to accommodate the future planned growth. Carkeel junction is the most significant in a number of pinch points along this corridor that will ultimately limit Cornwall s productivity and economic success. Saltash is one of Cornwall s larger towns with a population of 16,400. There are over 7,000 daily commuter trips between South East Cornwall and Plymouth and the vast majority of these are from Saltash. This is partly due to an imbalance between housing and jobs in the town with 43% of the town s working population commuting to Plymouth 4. Saltash s main employment sectors: retail, wholesale and education are relatively low value. The Local Plan employment space allocations for Saltash aim to boost employment in higher value sectors and increase opportunities for living and working locally. Saltash has high demand for affordable housing and relatively low housing values which means viability is a key issue for developers. Saltash has seen 121 dwellings completed in the last 3 years, so the rate of delivery will have to rise to achieve the target. Currently there are 666 families from Saltash that are on the HomeChoice Register seeking an affordable dwelling. In addition, Saltash is recognised as one of the worst performing towns with regard to development values, and in turn financial viability 5. This means that development struggles to deliver both the infrastructure required to unlock the growth and provide the level of affordable housing required. The Housing Strategic Viability Assessment (2012) 6 concludes that developers in Saltash will struggle to achieve the Council s policy for 40% affordable housing, indicating that a more achievable level of 20% could be expected. As a result, public sector intervention will be critical to help unlock the growth potential of the town and help ensure the housing development can deliver more of the affordable housing that the community needs. An improvement at Carkeel is critical to creating the right conditions for economic growth. Without it businesses will continue to incur costs of poor journey time reliability, development will be severely restricted 1 Transport Annex, Report 8, Cornwall Gateway Business Case: Parsons Brinckerhoff (March 2014) 2 SATURN model results 3 Cornwall Council Congestion Mapping Census Travel to Work data 5 Housing Strategic Viability Appraisal September 2012 ORS 6 Housing Strategic Viability Appraisal September 2012 ORS

16 Strategic rationale and description and the Local Plan allocations for housing and employment will not be realised. This will put increasing pressure on the strategic road network as residents continue to commute to Plymouth and elsewhere for employment. The delivery of the junction improvement at Carkeel will increase journey time reliability on the strategic road network, accelerate house building, support viability for the private sector to deliver affordable housing and unlock future employment growth, redressing the imbalance between housing and employment. Improving the gateway to Saltash will also support regeneration of the town. 7 SEP A38 Carkeel Scheme Summary The transport strategy for Saltash was developed to support the Local Plan s allocations for 1,000 new dwellings and 1,300 new jobs between 2010 and It identifies Carkeel junction as the key priority as it limits strategic connectivity to Plymouth and blocks local development potential. Carkeel Junction is the gateway to Cornwall from Plymouth and provides the main point of access to the industrial estates around Callington Road, the primary allocated development site to the north of Saltash and the town itself. During peak periods, the junction currently suffers from significant congestion and subsequent delay, in particular on the A388 and B3271 approaches. The HA scheme comprises works to improve westbound approach and westbound exit to Carkeel roundabout and installation of a pedestrian footbridge on the A38 eastern arm. However, junction assessments demonstrate that congestion would still be experienced in Due to this, a further improvement scheme has been identified that would enlarge the roundabout and provide additional capacity. Part-time signals would be provided on the A38 arms of the junction to allow some control of the A38 traffic flows, reducing delays and queues on the A388 and B3271 arms of the junction. Early delivery of the Carkeel scheme will bring forward housing and job creation and maximise the benefits of the wider 7m+ package of proposed infrastructure improvements on this strategic corridor which include: The 1.5m HA Pinch Point scheme that will deliver small scale junction improvements and a pedestrian over bridge - Early delivery of the wider improvements at Carkeel provides an opportunity to maximise benefits and synergies between the two schemes The 300k A38/Liskeard Road improvement scheme. The Carkeel scheme will enable a capacity solution at A38 Liskeard Road junction by accommodating redirected flows resulting from banning right turn movements off A38. A 750k+ package of Tamar bridge capacity improvements. A solution at Carkeel will help maximise potential journey time savings over the bridge achieved through increased capacity and demand management measures. The Stoketon Cross junction (estimate 4.5m). Improvements at Carkeel will allow development to focus investment at this

17 junction resulting in safety benefits and potential diversion of southbound traffic from A388 away from Carkeel village It will also extend agglomeration in Plymouth and South East Cornwall and support the Plymouth & South West Peninsula City Deal 8. Given Carkeel s strategic function the scheme benefits will be far reaching, facilitating growth allocations and productivity across the whole of South East Cornwall. Summary offer Creates the right conditions for growth, improving connectivity and journey times Increases viability of development and higher levels of affordable housing (potentially >20%) Accelerates housing build 9 which will counter the poor historic build rates in the town and address the lack of affordable homes Cornwall Council will provide 300,000 match funding Levers additional 4.5m private sector funding for an improvement at Stoketon Cross and 1m local LTP funding for A38/Liskeard Rd improvement and Tamar bridge improvements Summary asks A LGF allocation of 3.546m in 2015/16 The scheme is prioritised in the HA Route Based Strategy to support early delivery and to maximise efficiencies and benefits Government Improves national highway asset and reduces maintenance costs to benefits HA Increases benefits of and synergies with wider 4m+ package of necessary improvements along A38 corridor Supports agglomeration with Plymouth and the Plymouth and South West Peninsula City Deal that will lead to 9,500 permanent jobs, unlock 85,000 square metres of new marine workspace in long term Delivers reduced congestion and greenhouse gas savings LGF costs and benefits Supports the development of 1,000 houses at Saltash s allocated development site adjacent to the junction therefore the improvements are critical to the realisation of the full quantum of development Directly unlocks 534 houses 10 that will be accessed via this route Directly unlocks 1,298 new jobs and supports development of higher value employment sectors which will help counter the high level of out-commuting to Plymouth and boost productivity Very high Value for Money with a BCR of GVA: 47.62m 12 Supports better access to labour and markets for businesses across Cornwall by reducing journey times and improving long term resilience of the strategic road network. Provides foundations for successful 'future economy' and 'growth for Transport Annex, Report 8, Appendix: Developer letter of support 10 Transport Annex, Report 1, Section 5: Methodology: Parsons Brinckerhoff (March 2014) 11 Transport Annex, Report 1, Section 5: Methodology: Parsons Brinckerhoff (March 2014) 12 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

18 Governance business' SIF investments Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility; o reduced severance; o reduced accidents; o improvements in air quality. PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Cornwall Council Economic Development Representative LEP Representative Senior suppliers: Technical Services Manager or Engineering Design Manager Cornwall Council, Cormac Solutions Contractor s Area Manager Project Manager: Engineering Design Manager or Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Solutions o Through Cornwall Council Capital Projects Framework Contract o Cornwall Council compliant Tender Procedures o OJEU Compliant Tender Procedure Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Carkeel Risk Allowance included in costs: 372,000 Risk Description Prob and Severity 1 Acquisition of land 2 x 5 2 x 4 2 Further information 3 x 3 required on outcome 3 x 1 of ecological survey Score Time/ Cost 10 (T) 8 (C) 9 (T) 3(C) Impact of occurrence Delays and extra costs Risk Value 17.5k Delays and extra costs Risk Value 500

19 3 Statutory undertakers diversion works delays 4 Poor co-ordination and programming of statutory undertakers 5 Unforeseen services found during construction 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 5k Probability and Severity ranked 1-5 Key milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility April 2014 Stage 1 Preliminary Design May 2014 August 2014 Stage 2 Planning and Orders and August 2014 July 2015 Land assembly Stage 3 Detailed design July April 2016 Stage 4 Procurement April 2016 September 2016 Stage 5 Construction September March 2017 Stage 6 Project Closure April 2018 Stage 7 Review and Monitoring April 2018-April 2021 Statutory Consents Consent Required Date/Current Status Planning Application Not required - GPDO Land Acquisition Required /Status TBC Highways Agency S6 Agreement Required Environment Agency Consents Possible (TBC)

20 Scheme/Package(s) Falmouth Gateway 1 The Challenge Congestion Falmouth and Penryn are peripheral to the trunk road network in Cornwall and are constrained by their peninsular location. The A39 Treluswell roundabout forms the gateway access to the towns and is located at the crossroads of the A39 and A393 routes from Falmouth/Penryn to Truro and Camborne, Pool and Redruth respectively (two major economic centres). It also lies on the main A394 corridor to Helston and the Lizard Peninsular. The existing double mini roundabout arrangement does not operate efficiently and congestion in the peak hour is a severe problem. This junction also has a poor safety record with 16 accidents recorded between 2007 and 2011 and regularly sees queues in excess of 100 vehicles in the peak hour. Development viability Falmouth and Penryn is targeted with delivering 2,600 dwellings between 2010 and Furthermore, Falmouth and Penryn is the location for some of Cornwall s highest priority economic projects, in the form of Falmouth Docks and the Combined Universities of Cornwall expansion. The combination of housing and economic growth will put significant strain on the towns infrastructure. Strategic growth opportunities revolve primarily around Falmouth, the wider Port including the Penryn and Falmouth Docks, which are anticipated to deliver significant employment growth surrounding employment and industry within the Marine environment. Falmouth suffers from pockets of severe deprivation, which is partly reflected in the need for affordable housing, with 1,605 families from the area on the HomeChoice Register seeking an affordable dwelling. Developers will struggle to deliver the level of infrastructure required to unlock the growth potential of the town, together with the scale of affordable housing demanded by the local community. As a result, with public sector intervention on supporting the delivery of critical infrastructure, it will enable the Council, through the private sector, to help deliver more of the affordable housing needs of the local community. Strategic rationale and description The improvement of a key strategic junction at the gateway to Falmouth, unlocking growth in two regionally significant education and employment centres and supporting much needed housing growth. A relatively small capital investment in this strategic bottleneck will not only deliver congestion benefits from day 1 but will also support the economic growth of Cornwall s University and Marine town in the longer term. A 0.869m competitive LGF investment in will deliver a single large roundabout to replace the existing double mini, relieving an existing pinch point and adding value to previous investment to mitigate traffic impacts in and around Falmouth. 1 Transport Annex, Report 9, Falmouth Gateway Business Case: Parsons Brinckerhoff (March 2014)

21 Supports 12m of delivered or progressing investment within the towns on key projects that support wider growth, this include: o 8.75m for the provision of a passing loop on the Truro to Falmouth Maritime branchline line and upgrade to station waiting facilities this has significantly improved passenger numbers (63.4% during the 3 years after implementation), thus enabling a step change in travel behaviour which will assist targets for carbon reduction o 2.23m to deliver a junction improvement for Union Corner, Falmouth creating conditions for growth and unlocking a number of key areas for development (supported by Local Pinch Point funding). Scheme unlocks 452 dwellings and 204 jobs. o 0.650m to deliver phase 1 of a comprehensive walking and cycling network to create desirable alternatives to the private car, which supports the governments aspirations for sustainable travel o 0.330m to deliver pedestrian improvements at Kernick Roundabout, Penryn supported with developer funding and aimed at providing improved and safer connections between the village of Mabe and Penryn. Summary offer Investment to relieve this key pinch point will remove costs associated with current congestion immediately, accelerate housing and employment growth and improve viability for affordable housing delivery. Summary asks An LGF allocation of 0.869m in Government benefits An efficient and resilient transport network that will allow for the acceleration of growth to 2030 and is attractive for business investment and innovation. Relieving congestion provides an instant boost to the economy and with improved journey times comes increases in productivity. Reduction in C02 emissions to meet targets of carbon reduction and vehicle operating costs as a result of reduced queuing. LGF costs and benefits investment for Treluswell has the potential to unlock further investment of 15.75m from both the private/public sector. Improving Treluswell unlocks 289 new dwellings and 224 jobs with associated GVA and fiscal benefits and significant reduced congestion and greenhouse gas savings 2 Provides a BCR of and potential to generate increased GVA per annum of 8.22m 4 2 Transport Annex, Report 9, Appendix: Developer letter of support 3 Transport Annex,Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 4 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

22 The combined benefit of delivering Union Corner (not SEP funded) and Treluswell as a package, unlocks 741 dwellings and 428 jobs. This would provide an annual increase to GVA of 15.71m and an overall BCR of providing high value for money. Supports the wider Local Plan aspirations of 2,600 new dwellings, and 22,450 sqm of employment space creating up to 850 jobs 6 Regeneration of Falmouth Docks will see a further Combined Universities of Cornwall (CUC) identified potential creation of 4,000* jobs by 2025 through further expansion 8 Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility; o reduced severance; o reduced accidents; o improvements in air quality; and o increased physical activity. Governance PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Head of Economic Development Cornwall Council Chair of the LEP Senior suppliers: Technical Services Manager, Cormac Solutions Project Manager: Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Solutions Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Treluswell Roundabout Risk Allowance included in costs: 372,000 5 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 6 Cornwall s emerging Local Plan 7 Table 6.10 Port of Falmouth Transport Assessment 8

23 Risk Description Prob and Severity 1 Acquisition of land 2 x 5 2 x 4 2 Further information 3 x 3 required on outcome 3 x 1 of ecological survey 3 Statutory undertakers diversion works delays 4 Poor co-ordination and programming of statutory undertakers 5 Unforeseen services found during construction Score Time/ Cost 10 (T) 8 (C) 4 (T) 6 (C) 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) Impact of occurrence Delays and extra costs Risk Value 17.5k Delays and extra costs Risk Value 500 Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 5k Key milestone Statutory Consents Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Complete Stage 1 Preliminary Design Complete Stage 2 Planning and Orders and April 2014 June 2015 Land assembly Stage 3 Detailed design August June 2015 Stage 4 Procurement July November 2015 Stage 5 Construction November March 2016 Stage 6 Project Closure March 2017 Stage 7 Review and Monitoring March 2016 March 2019 Consent Required Planning Application Land Acquisition Others: e.g : Environmental Impact Assessment Protected Species Rail Consents Environment Agency Consents Date/Current Status Can be delivered under GPDO Required for Treluswell and acquisition negotiations are underway To be confirmed.

24 Scheme/Package(s) Great Western Mainline Signalling and Half Hour Service 1 The Challenge Creating strong transport connections to economic markets throughout the UK Good transport links are important for Cornwall for effective competition with other areas of the UK. It is also fundamental for labour market operation within Cornwall with its dispersed settlement pattern. Achieve a sustainable more cost effective solution to transport constraints Cornwall has a number of constraints to its strategic transport links to the UK. The cost of improving these links can be significant and prohibitive to delivery. Finding cost effective solutions to upgrade our infrastructure will be key to creating the conditions for growth. Delivering service capacity on the rail network Rail industry forecasts have repeatedly underestimated the passenger growth in Cornwall. In 2012 patronage had already exceeded the industry forecast for As these projections are used to draw up investment plans, urgent action is needed to provide solutions so that it does not constrain our economy. There has been no corresponding investment in services and rolling stock capacity. Accommodating the growth in rail patronage in Cornwall Cornwall has proactively invested over 30m in its local rail network since 2000 funding new services, station improvements, new lines and higher service standards. This investment has seen rail patronage grow by 9% per annum since 2000, twice the UK average. Cornwall now has 6.5m rail journeys every year. Strategic rationale Population distribution and growth are closely related to the rail and description network in Cornwall. Cornwall wants to take advantage of this by utilising the rail network as existing infrastructure which can be used to address the need for increased travel that comes with growth. To this end Cornwall has worked with Network Rail to assess the ability to operate a half hourly service in Cornwall to take advantage of our extensive rail network and patronage growth. Network Rail was commissioned to undertake an assessment to GRIP2 (Governance for Railway Investment Projects, stage 2). This study identified the need to provide new signalling to reduce existing block lengths and facilitate two trains per hour in each direction on the mainline. There is a general shortage of diesel rolling stock in the UK, which constrains the ability of train operating companies (TOCs) to provide capacity improvements. Network Rail is currently undertaking electrification work to the Thames Valley rail network. This work will allow the current Thames Valley DMU rolling stock to be cascaded to other areas from 2016 onwards. It is important that the mainline signalling infrastructure in Cornwall is in place by 2018 to allow DfT, Cornwall and TOC to take advantage of any cascaded rolling stock to deliver the half hourly mainline service. It is important this service is specified in the next tendered Great Western franchise. 1 Transport Annex, Report 2, Great Western Signalling Business Case: Parsons Brinckerhoff (March 2014)

25 The Local Transport Board has prioritised the 8.9m devolved major scheme funding to the Mainline Signalling project. Cornwall Council has engaged in the development of a major scheme business case and is working with Network Rail to deliver the project. Network Rail also has a 100m project to upgrade the mainline signalling between Penzance and Totnes. Delivering this at the same time as the mainline signalling will lead to cost efficiencies and savings. Discussions have been held with DfT and the Office of the Rail Regulator on bringing this scheme forward into Control Period 5 (CP5) ( ). The new mainline signalling on the Cornwall mainline can be delivered without this happening. The establishment of a half hour frequency service on the mainline is important to the delivery of the West Cornwall Transport Interchange (WCTI) which establishes a parkway station and new high capacity park and ride interchange for St Ives and Penzance. This will address the high levels of demand that that lead to congestion on the A30 and A3074 and create good transport links in the summer attracting more people to visit West Cornwall and maintaining journey time reliability for local businesses. This project is an alternative option to the Highways Agency scheme to dual the A30 from St Erth to Penzance. A 25.28m investment over which provides:- o Mainline signalling improvements between Plymouth and Penzance to enable half-hourly mainline services in Cornwall o A parkway station and, park and ride transport interchange on the A30 at St Erth The package has multiple strategic rationales:- o The transport interchange provides a cost effective and sustainable solution to infrastructure constraints from the A30 at St Erth to St Ives and Penzance - thus relieving the Highways Agency of delivering a strategic A30 investment west of St Erth o The half hourly service enabled by the new mainline signalling generates 17% annual passenger growth over the SEP period with increased economic benefit to C&IoS business, significant franchise revenues ( 73m) and savings to government Summary offer 8.9m LTB allocation leveraging a 6.2m SIF investment for the mainline signalling scheme Summary asks Confirmation of 8.9m LGF allocation in 2015/16 Collaboration with DfT on rolling stock cascade from the Thames Valley electrification to secure half hourly mainline service Collaboration with DfT on refranchising to secure optimum half hourly mainline services The Network Rail Penzance to Totnes resignalling scheme is brought forward into CP5 to secure construction cost efficiencies and Network Rail operating efficiencies and cost savings.

26 Government benefits LGF costs and benefits Governance Securing significant Great Western franchise revenues/savings through patronage growth Delivers 75 new direct jobs, safeguards 2,305 existing jobs based on current commuting Unlocks 64 houses 2.7m GVA per annum 2 A BCR of 2 3 PVB of 32.4m 4 Builds on and maximises the benefits of the previous 30m of Government, European and local investment in rail infrastructure in Cornwall. Better accessibility through increased frequency of services Greater ability for people to access services and employment locally Enabling better use of local and national network capacity Increased access for businesses to new and existing markets Relieving the local road network and providing increased capacity through modal switch. Governance for Railway Investment Project (GRIP) Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council First Great Western LEP Representative Senior Suppliers: To be confirmed Project Manager: Senior Project Manager Network Rail Procurement and Delivery Methodology Preparation design and Supervision: Network Rail Works Contract Procurement route: o Direct delivery Network Rail o Through Network Rail Signalling Framework Contract Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Probability and Severity ranked 1-5 Risk Description Prob and Score Impact of occurrence 2 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014) 3 Transport Annex, Report 1, Section 5: Methodology: Parsons Brinckerhoff (March 2014) 4 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014)

27 Key milestones 1 Securing ORR approval to bring the mainline signalling refurbishment into CP5 2 Network change does not get approved 3 Rolling stock is not cascaded to deliver the half hour frequency service 4 GWMR/FTN commissioning timescales slip 5 GRIP 4 8 contract is not placed in time to meet the project programme Severity 3 x 5 15 Delays and extra costs 3 x 5 15 Extra revenue costs required to achieve the ½ hr service 2 x 3 6 Delays to the ½ hr service and extra cost 4 Delays and extra cost 4 Delays and extra cost Statutory Consents Activity Start date End date GRIP stages 1 Output definition / 2 October 2013 April 2014 Feasibility GRIP stage 3 Option selection June 2014 March 2015 GRIP stage 4 Single option development April 2015 September 2016 GRIP stage 5 Detailed October 2016 design / 6 (Commissioning Construction test and December 2018) commission April 2019 GRIP stage 7 Scheme hand back May 2019 June 2019 GRIP stage 8 Project close out July 2019 December 2020 Consent Required Planning Application Land Acquisition Side Road Orders Date/Current Status NA NA NA

28 Others: eg : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Completed to GRIP2 for signalling Completed to GRIP2 for signalling Required for signalling NA TBC

29 Scheme/Package(s) Creating the Conditions to Support Growth: Newquay Growth Area 1 The Challenge The current economic issues affecting Newquay include: the need for better quality employment space and sites; the need to provide land and premises for growth rather than declining sectors; the loss of manufacturing activity is expected to be matched by an increase in the demand for warehousing; any provision of employment space must be well located in relation to access and transport routes. demand is uncertain and locations of any new sites will have to be decided between the major settlements of Newquay, St Austell and the Clay area; workers in the area tend to be low paid and in seasonal hospitality trades; the area has a low income and relative deprivation in regards to housing; and the number of businesses that require entrepreneurial support. The growth of Newquay Cornwall Airport is recognised as being an important driver of economic growth in Cornwall and the wider region. There are currently plans to develop the airport, as set out in the Newquay Cornwall Airport Masterplan The airport has a number of unique characteristics that can facilitate growth including a long runway, constraint free airspace, high airfield capacity and access to a marine environment suitable for search and rescue training. Most significantly, it has some 325ha of surrounding land available for development, which is now designated as a Local Enterprise Zone. Proposals include an expansion of the passenger terminal, new hotels and a conference centre, large scale maintenance hangars and an Airport Business Park to accommodate aerospace and other companies. The implementation of a sustainable transport system is essential to unlocking the economic potential of the town. Growth is currently restricted by poor road connections, poor access, congestion problems and an underused rail service; the impact of which is more evident during the peak of the tourist season in the summer months. Strategic rationale and description Transport Strategy The Newquay Strategic Route (NSR) is critical to the economic prosperity of Newquay by helping to reduce traffic on existing routes, as a result cutting delays and the associated costs to businesses and individuals, and providing access to the significant areas of employment land and residential development (the Newquay Growth Area and the Local Enterprise Zone), thus putting in place the infrastructure which is required to bring unlock new jobs, housing and economic growth in the area. 1 Transport Annex, Report 10, Newquay Strategic Route Business Case: Parsons Brinckerhoff (March 2014)

30 The NSR is a new road that would provide traffic relief to the east of Newquay, connecting the A392 Hendra Road with the A3059 Rialton Road to the north east, passing through the Newquay Growth Area site. Cornwall Council had long established a requirement for a route which would serve the proposed Growth Area, helping to unlock employment space and mitigate the impact of traffic growth on the surrounding network, and also diverting existing and new traffic from travelling through Trencreek village and over the railway crossing. The full NSR comprises the following phases: Phase 1 - from the A392 to the railway ( 2.989m). Phase 2 - from the Quintrell Road to the railway together with the link toward Porth Four-turns junction. Phase 3 - the railway overbridge to connect Phases 1 and 2 of the road (Phase 2 & 3 totals 12m). NSR Rialton Link the section between Quintrell Road ( 3.337m). Delivery of Phase 1 would enable access to a proposed new household waste recycling centre, a potential site for a seasonal Park and Ride facility, an area of employment land and land for mixed use development (potentially including residential units) by unlocking land south of the railway line. It is also considered to mark an important step forward in the realisation of the Growth Area; however, given the constraints of the current transport network, Phases 2 and 3 will also be required to enable the total level of development proposed in the Growth Area Masterplan, which will provide a significant number of new homes, jobs and infrastructure. The NSR in its entirety will also provide access from the existing developed areas of Newquay to the facilities which will be contained within the Growth Area, helping to mitigate the impacts. Summary offer The Council has agreed to contribute 0.93m from its Transport Capital Programme (LTP3) towards the provision of Phase 1 of the NSR, the provision of which enables a start of a road scheme that has already secured full planning consent (Set 2012). Closing the funding gap will enable the full scheme to be implemented, which will enable developments included in the Duchy of Cornwall s Masterplan for this area of the Newquay Growth Area to come forward and is considered to mark an important step forward in the realisation of the Growth Area. This LGF investment will also add value to a recent Government Pinch Point investment of 2m for the Rialton Link section of the NSR supporting direct access to the Local Enterprise Zone thus securing both ends of this important strategic link. Summary asks An LGF allocation of 2m in Government benefits Realises the benefits and synergies with strategic investments above, and secures foundations for successful 'future economy' and

31 'growth for business' SIF investments Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility; o reduced severance; o reduced accidents; o improvements in air quality; and o increased physical activity. LGF costs and benefits Whilst the NSR Phase 1 project, of itself, does not enhance the capacity of the strategic network, it does provide a key stepping stone to development of the entire route, unlocking areas for development that will secure the necessary private sector funding. Although unlocking land for development is a key driver for the NSR, the Council is committed to support this project because of the strategic value of the route in addressing capacity for growth across the wider area. Further development in the Trencreek area is constrained by access along Trevenson Road which is narrow, winding, and has limited capacity. In addition the road is traversed the Newquay Par rail branch line level crossing, which has been the scene of a number of accidents. For this reason, Network Rail are obliged to object to any further development which will increase traffic volumes on this route. The NSR, will remove traffic from Trevenson Road, allow its closure to through traffic and include a road/rail over bridge to avoid conflicts between rail and motor car. A transport Webtag assessment of the wider NSR was carried out. The figures show that, over the 60 year time period, the forecast benefits of the NSR outweigh the forecast costs, leading to an estimated Net Present Value of 17.6 million (2002 prices and values) and a BCR of The summary table is provided below. Sector m A) Benefits Impacts on Transport Users Business: Car Trips 5.8 Business: Goods Vehicle Trips 7.4 Other Journey Purposes (inc. commute) 21.5 Carbon Emissions Reductions 0.2 Indirect Tax Revenue Loss (Fuel Duty) -2.0 B) Costs to Public Sector Operating Costs (net of revenue) 0.0 Investment Costs 15.4 C) Summary PVB 33.0 PVC 15.4 NPV 17.6

32 BCR Governance Scheme will unlock 361 houses Scheme will unlock 2791 jobs Scheme delivers a GVA of 102.4m 3 PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Head of Economic Development Cornwall Council Chair of the LEP Senior suppliers: Technical Services Manager, Cormac Solutions Contractor s Area Manager, Cormac Construction Project Manager: Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Contracting, through a value-for-money test following the Early Contractor Involvement (ECI) process Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Risk Allowance included in costs: 123,700 Risk Description 1 RSA 3 - results and recommendations of Exceptions report Prob and Severity 3 x 3 3 x 2 Score Time/ Cost 9 (T) 6 (C) Impact of occurrence Delays and extra costs Risk Value 11.25k 2 Unforeseen 2 x 3 6 (T) Delays and extra costs 2 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 3 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

33 drainage works 4(C) Risk Value 11.25k 3 Unforeseen hard/soft spots in excavations 2 x 3 6 (T) 4 (C) Delays and extra cost Risk Value 7.5k 4 Unforeseen ground conditions - suitability and re-use of site won material and condition of formation 5 Unexpected SWW services found leading to H&S concerns and additional diversion costs/delays 2 x 3 2 x 3 6 (T) 4 (C) 6 (T) 4 (C) Probability and Severity ranked 1-5 (low to high) Delays and extra cost Risk Value 7.5k Delays and extra cost Risk Value 7.5k Milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and Completed September 2012 Land assembly Stage 3 Detailed design 90% complete Stage 4 Procurement 90% complete through ECI process with Cormac Contracting Stage 5 Construction October 2014 October 2015 Stage 6 Project Closure October 2016 Stage 7 Review and Monitoring October 2015 October 2018 Statutory Consents Consent Required Date/Current Status Planning Application Achieved September 2012 Land Acquisition Required land transfer from DoC. Others: e.g : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Heads of Terms agreed. Planning condition determinations: Archaeology Drainage Landscaping

34 Scheme/Package(s) The Night Riviera Service 1 The Challenge The Night Riviera Service is hugely important to Cornwall s connectivity to London. The service is expensive to operate but it has seen large growth both in terms of passengers and income. The service has seen 17% growth since 2010 with 99% weekend occupancy in the summer and a 75% load factor throughout the year. This has resulted in a 23% increase in income since However, the rolling stock is old with limited capacity and the service does not meet the quality expectations of customers. Customer satisfaction in the service is reducing. These factors are constraining the financial viability of the service in the long term. Strategic rationale and description The Night Riviera Service rolling stock is currently maintained at Old Oak Common in London. This depot closes in 2016 to facilitate the route of HS2 and an alternative location for maintenance of the rolling stock still needs to be identified. There is a 9.5m funding gap for the train care facility at Penzance. To address the financial viability of the Night Riviera Service, First Great Western (FGW) is proposing to refresh the service and increase the capacity of the service. To achieve this goal, FGW has secured two additional coaches to operate on the service. These will increase the capacity of each of the two trains that operate the service between Penzance and London Paddington, allowing more passengers to be accommodated. One train operates in each direction every night except Saturday. To address the quality of the Night Riviera Service, FGW has developed proposals to refresh the rolling stock. A prototype of the interior of the refreshed sleeper and saloon cars has been built to test the design. FGW has received and assessed tenders for the refurbishment of the rolling stock. The cost of the refresh is 14M. Partial funding for the refresh has been identified but there is a funding gap of 9.5M. The period for accepting the tenders expires at the end of April To address the loss of the Old Oak Common maintenance facility to accommodate HS2 it is proposed that the heavy maintenance activity is relocated to Penzance, creating additional employment in the town. The provision of a new train care centre at Penzance will safeguard existing jobs at Long Rock as well as bringing up to 60 new jobs to the town together with training opportunities. The centre will undertake the heavy maintenance, refuelling and interior cleaning of rolling stock. A location has been identified for the centre on existing railway land at Penzance and a design for the facility has been completed. Penzance is a railway town with 3% of all jobs working in the rail sector which equates to approximately 300 jobs. A 28m investment over which provides:- o Relocation of the night sleeper train care centre from Old Oak 1 Transport Annex, Report 4, The Night Riviera Service Business Case: Parsons Brinckerhoff (March 2014)

35 Common to Penzance - thus facilitating HS2 investments in London o Upgrade of the Night Riviera Sleeper service The package has multiple strategic rationales:- o The transport interchange provides a cost effective and sustainable solution to infrastructure constraints from the A30 at St Erth to St Ives and Penzance - thus relieving highways agency strategic A30 investment west of St Erth o The traincare centre relocation enables HS2 to proceed, and the jobs it brings to Penzance enables HS2 benefits to be seen to accrue to Cornwall The sleeper service improvement safeguards the service - which is an integral part of the C&IoS backbone transport service - whilst the whole package enables C&IoS to take advantage of rolling stock options for improvement as electrification proceeds 'up country. Summary offer 7.0m LGF bid leveraging a 28m total investment including 7m SIF and 0.5m private sector. LGF leverages EU funding into the delivery of the train care centre in Penzance solving a problem for HS2 and reducing their displacement costs. Summary asks 7.0m LGF in 2015/16 HS2 pay the 9.5M funding shortfall for the Night Riviera Service with a net saving of 4.5M Early decision to relocate Night Riviera Service heavy maintenance to a train care centre in Penzance Government The traincare centre relocation to Penzance from Old Oak Common benefits solves an HS2 delivery issue, and the jobs it brings to Penzance enables HS2 benefits to be seen to accrue to Cornwall. The Night Riviera refresh will secure significant franchise revenues/savings. LGF costs and benefits Governance 7m, leveraging 21m complementary investment Economic growth and enhanced GVA of 2.2m 2 Delivers 60 new jobs at the train care centre. Safeguards 65 existing jobs linked to the Night Riviera Service. Provides opportunities for educational and vocational training in Cornwall PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: First Great Western Executive: First Great Western Senior User: Transport Planning and Strategy Manager- Cornwall Council Senior suppliers: To be confirmed Project Manager: First Great Western 2 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

36 Procurement and Delivery Methodology Preparation design and Supervision: First Great Western Works Contract Procurement route: o OJEU Compliant Tender Procedure Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Probability and Severity ranked 1-5 Key milestones Risk Description Prob and Score Impact of occurrence Severity 1 Securing funding for 3 x 5 15 Delays and extra costs the full package 2 Tender price may 3 x 4 12 Delays and extra costs be too high 3 Delays with HS2 2 x 3 6 Delays and extra cost may impinge on timescales to move facility to Cornwall 4 Delays in FGW 4 Delays and extra cost procuring the contract 5 Not securing planning permission 4 Delays and extra cost Night Riviera Service Refresh Activity (Prince2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and NA Land assembly Stage 3 Detailed design Completed Stage 4 Procurement Tenders open to April 2014 Stage 5 Construction May 2014 Stage 6 Project Closure December 2014 Stage 7 Review and Monitoring Train Care Centre, Penzance Activity (Prince2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and October -December 2014 Land assembly Stage 3 Detailed design June-September 2014 Stage 4 Procurement February 2015 Stage 5 Construction May November 2015

37 Stage 6 Project Closure December 2015 Stage 7 Review and Monitoring Statutory Consents Night Riviera Service Refresh None needed Train Care Centre, Penzance Consent Required Planning Application Land Acquisition Side Road Orders Others: eg : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Date/Current Status Required Land secured NA Required Required Landlords consent required NA TBC

38 Scheme/Package Redruth Gateway 1 The Challenge The economic regeneration of Redruth Redruth was identified in the 2010 Indices of Multiple Deprivation as being in the most deprived quintile in England, with poor housing identified as the main indicator 2. There is a significant affordable housing requirement (2,900 people on the Home Choice Register and rising); however Cornwall Council has not been able to secure the emerging rate of affordable housing from development because of the low developer return 3. Viability issues exist for developers due to high land remediation costs associated with the area s history of mining resulting in low land value. The office sector within Redruth and the wider area remains underdeveloped, despite a growing and continued demand for smaller, flexible office space 4. Creating accessibility and reducing severance of development areas Accessibility issues associated with the Tolgus Urban extension site has resulted in a planning condition being placed on the development which requires the A3047 highway infrastructure improvements to be delivered prior to commencement of build out to address severance of the site from the town which is created by the A3047 Redruth bypass. Strategic rationale There has been significant investment in transport infrastructure over and description the last decade in the Camborne Pool Redruth area which has underpinned growth and investment. Through a multi-agency approach new investment has been attracted to the area from both the private and public sector which has enabled opportunities for new businesses to flourish, existing business to relocate, housing development to come forward and major transport schemes to be delivered. 5 In order to sustain the growth achieved in the area and maximise its benefits on a strategic level by delivering more homes and employment, Local Growth Fund investment is required to create the conditions for growth by delivering a key element of the Redruth transport strategy and unlocking 32 hectares of development land. A 4.9m LGF investment phased over will deliver: o The Redruth Gateway Scheme unlocks the Tolgus urban extension site. This site provides half of the proposed future housing and employment identified for the town. The site is included in the emerging Local Plan as being a suitable location to deliver a mixed use site of 650 dwellings and 4,000sqm of employment space. The Redruth Gateway Scheme will reconfigure the existing A3047 Redruth Bypass between Tolgus Place junction and Blowinghouse roundabout. This 900m length of existing dual carriageway will be redesigned as a single 1 Transport Annex, Report 11, Redruth Gateway Business Case: Parsons Brinckerhoff (March 2014) 2 ECORYS report: Economic Impact Assessment of the Redruth Brewery Quarter Project and A3047 Gateway Project, March 2013 (Section 3.3, page 17) 3 Housing Strategic Viability Appraisal September 2012 ORS 4 Employment Space Strategic Investment Framework; Cornwall Strategic Economic Plan, Camborne-Pool-Redruth transport package summary, Parsons Brinckerhoff, March 2014 (Area wide funding section)

39 o o o carriage urban street, either side of a wide tree-lined and grassed central reserve with low traffic speeds. The scheme integrates the urban extension site into the town by removing the barrier of the dual carriageway section of the A3047 and creating walking and cycling links into the town and surrounding area The scheme will also create a new gateway entrance into Redruth and so supports regeneration initiatives in the town such as the Redruth Brewery Quarter Public Realm project (private sector led workspace investment of 7,500sqm and 110 FTEs) and new archive centre for Cornwall by bringing access in from the north of the town. A condition is placed on this development which requires the highway infrastructure to be delivered prior to commencement of build The Redruth cycle network comprises 8 prioritised walking and cycling schemes which will deliver an enhanced network creating direct links between employment and industrial areas to existing and emerging housing. The project will contribute to the sustainable regeneration of the Camborne Pool Redruth area and will link with existing extensive walking and cycling networks delivered as part of the 5.08m Mineral Tramway project, thereby maximising the benefit of this project which was joint funded by the Heritage Lottery Fund, ERDF (Objective One) and the South West Regional Development Agency Stimulate increased trade in the town centre by improving walking and cycling access into the town thereby encouraging higher footfall. Both of these projects improve accessibility to jobs in Redruth and create the conditions for growth by creating direct walking and cycling links between residential and industrial/employment areas (57% of residents travel 3 miles or less to work 6 ). Summary offer Removes the key constraint to employment and housing growth in Redruth The Redruth Gateway scheme is shovel ready with full planning permission achieved meaning that delivery of the Tolgus Urban expansion can be accelerated. Summary asks A 4.9m LGF allocation in Government Creates the conditions for growth for the emerging Local Plan which is benefits seeking to deliver 4,500 dwellings and 2,850 jobs in CPR over the next 20 years. LGF costs and benefits Maximise the return on European and national investment already spent on transport in the area which equates to 46.2m. 4.9 LGF bid 1.8m developer contribution (Growing Places grant awarded 6 ONS 2011 Census

40 Governance to the developer Percy Williams) Delivers a mixed use site of 650 dwellings and 4,000sqm of employment space 7 Supports 396 jobs and has a GVA of Supports private sector viability to enable 20-30% affordable housing to be delivered Helps to address air quality issues (Camborne is an Air Quality Management Area) Delivers health outcomes for local residents by creating attractive active travel options for commuting and leisure trips PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Cornwall Council Economic Development Representative LEP Representative Senior suppliers: Technical Services Manager or Engineering Design Manager Cornwall Council, Cormac Solutions Contractor s Area Manager Project Manager: Engineering Design Manager or Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Key risks Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: Direct delivery Cornwall Council Cormac Solutions The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Redruth Gateway COST IS BASED ON A TENDER COST FROM CORMAC NO RISKS INCLUDED Cycle Schemes Risks not individually assessed due to minor nature of individual schemes. A generalised 5.6% risk allowance has been made within the costings. The allowance is derived from Monte Carlo Quantitative Risk Analysis of 8 separate cycle schemes within Camborne, Pool and 7 Transport Annex, Report 11, Appendix: Developer letter of support 8 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

41 Redruth. The P70 risk value has been used. Key milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Completed Stage 1 Preliminary Design Completed Stage 2 Planning and Orders and Land assembly Planning Consent achieved All land highway or Council owned Stage 3 Detailed design Completed Stage 4 Procurement Partially completed through ECI process, retender to July 2014 Stage 5 Construction October 2014-July 2015 Stage 6 Project Closure July 2016 Stage 7 Review and Monitoring July 2015-July 2018 Statutory Consents Consent Required Date/Current Status Planning permission granted PA12/ May 2013 (expires 30 May 2016) Land Acquisition Not required Side Road Orders Others: eg : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Confirmed EIA completed for Tolgus TBC Not required Not required TBC

42 Scheme/Package(s) The Challenge Creating the Conditions to Support Growth: Truro Western Corridor 1 Congestion caused by In-Commuting Truro has an estimated population of 23,600 and 19,500 strong workforce. There is currently a significant imbalance between the resident workforce and the number of jobs in Truro with an estimated 14,000 commuter trips into the City each day. This level of in-commuting causes congestion on the key strategic routes into Truro (congestion accounts for approximately 20% of the average journey time, predicted to rise to 40% in 2030 if left unchecked) and has been identified as the key constraint in terms of enabling the City to expand its housing stock and employment space and to enhance its position as a regional economic centre. The Cornwall Employment Sites Study (2012) states that when considering locating in Truro, business owners take into account the time it takes to commute from surrounding towns and current congestion levels into the City act as a deterrent. The current cost of congestion in Truro amounts to approximately 3.4m per year. This is expected to rise to 10m per year by Delivery of Housing Cornwall s emerging Local Plan is seeking to address the level of incommuting with a 20 year housing allocation of 4,500 new homes by 2030 which represents one of the largest levels of growth of any town with Cornwall. Truro has only delivered 310 dwellings in the past 3 years, which means the rate of delivery will need to increase significantly to ensure the housing target is met. In addition, there are currently 1,475 families within the Truro area on the HomeChoice register seeking an affordable dwelling. Private Sector Viability The Housing Strategic Viability Assessment (2012) was undertaken as part of the evidence base for Cornwall s emerging Community Infrastructure Levy. The assessment concludes that even for areas of moderate value in Cornwall (as is the case of Truro) it would be difficult for development to achieve Cornwall Council s 40% affordable housing policy and for many developments this level would be completely unviable. This viability issue is further entrenched as a barrier given the extent of strategic transport infrastructure required to create the conditions for growth. Strategic rationale and The delivery of transport infrastructure in Cornwall s City to 1 Transport Annex, Report 6, Truro A390 Corridor Business Case: Parsons Brinckerhoff (March 2014)

43 description accelerate house building, support viability for the private sector to deliver affordable housing and unlock future employment growth in retail and health. An A390 Development Brief was approved by the Council in January 2012 which provides a planning framework for significant development (2,500 homes and employment space) coming forward north of the A390 corridor. The significant allocation for development in this location presents a critical opportunity to create the quantity of housing required to meet local demand and will also assist in reducing the current imbalance between residents and jobs m LGF investment phased over , the Truro A390 Corridor Scheme will deliver the following: Capacity improvements at Threemilestone roundabout to manage cumulative growth and directly unlock 780 new homes plus employment space. Signalisation and widening at Royal Cornwall Hospital roundabout managing increased flows from the hospital and the Health and Well being Innovation Centre a Convergence project on the A390 corridor. Signalisation of the A390/A39 Arch Hill roundabout to manage cumulative growth and directly unlock 320 new homes. Delivery of a bus gate at Threemilestone and inbound bus lanes along the corridor giving priority to buses, reducing public transport journey time and supporting the required modal shift from new development. Delivery of critical walking and cycle links along the A390 corridor connecting the new development with key employers and the City Centre thereby supporting the required modal shift from new development. The package of measures proposed for Truro work together to unlock a greater quantity of housing and employment than the direct sum of its parts. Summary offer Whilst optimum sequencing is presented over , the packages can be sequenced and phased over longer periods if lower rates of LGF are available. The Local Growth Deal funding is proposed to be matched by 3.793m funding provided through a Revolving Infrastructure fund. This will advance private sector contributions attached to secured planning consents along the western corridor. Supporting growth in this way is critical as it:

44 secure the foundations for growth in housing and employment, accelerate development, and reduce the viability issues associated with selling a number of open market houses prior to the infrastructure being in place. Summary asks Government benefits LGF costs and benefits A Local Growth Deal investment of 8.217m in 2015/16 is required to close the funding gap and deliver the package. Realises the benefits and synergies with strategic investments above, and secures foundations for successful 'future economy' and 'growth for business' SIF investments Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility; o reduced severance; o reduced accidents; o improvements in air quality; and o increased physical activity m LGF leveraging +/ m complementary investment ( Revolving Infrastructure Fund ) The Truro A390 corridor package offers the following benefits: Provides a BCR of Accelerates the delivery of 1,127 houses and 1,986 jobs. Unlocks private sector investment to deliver the infrastructure to support a further 1,550 new homes to the north of the A390 3 Supports new job growth of up to 3,800 by 2030 Supports the private sector viability to deliver a higher allocation of affordable housing 10-15% average saving in journey time With the package of measures in place, total savings equate to an average time saving for car trips to/from and within the Truro area of 3 minutes in the a.m. peak and 4 minutes in the p.m. peak representing a 10-15% saving in average journey time. Benefit to business users and transport providers 18m 2 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 3 Transport Annex, Report 6, Appendix: Developer letter of support

45 Governance (NPV). Commuting and others 33m (NPV). Non-monetised benefits include journey reliability, improved accessibility, improved air quality, reduced severance, and increased physical activity. Construction package of approximately m. Based on relationship between turnover, employment and GVA in the construction sector, it is estimated that work could generate gross benefits of 250 person years of employment and 9.2m in GVA in the local area. 1,127 new homes generates an additional 372 retail and service sector jobs, creating 13.6m per annum GVA. Overall, the schemes would have a GVA impact of 72.8m 4. This injection of investment is a significant contributor to the SEP target of 4,500 new homes and 3,000 new jobs. PRINCE2 Project Management Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Head of Economic Development Cornwall Council Chair of the LEP Senior suppliers: Technical Services Manager, Cormac Solutions Project Manager: Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Direct delivery Cornwall Council Cormac Solutions Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Threemilestone Bus Gate Risk Allowance included in costs: 372,000 4 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

46 Risk Description Prob and Severity 1 Acquisition of land 2 x 5 2 x 4 2 Further information 3 x 3 required on outcome 3 x 1 of ecological survey 3 Statutory undertakers diversion works delays 4 Poor co-ordination and programming of statutory undertakers 5 Unforeseen services found during construction Score Time/ Cost 10 (T) 8 (C) 9 (T) 3(C) 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) Impact of occurrence Delays and extra costs Risk Value 17.5k Delays and extra costs Risk Value 500 Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 5k Threemilestone Signalised Roundabout Risk Allowance included in costs: 108,225 Risk Description Prob and Severity 1 Acquisition of land 2 x 5 2 x 4 2 Further information 3 x 3 required on outcome 3 x 1 of ecological survey 3 Statutory undertakers diversion works delays 4 Poor co-ordination and programming of statutory undertakers 5 Unforeseen services found during construction Probability and Severity ranked 1-5 Score Time/ Cost 10 (T) 8 (C) 9 (T) 3(C) 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) Impact of occurrence Delays and extra costs Risk Value 17.5k Delays and extra costs Risk Value 500 Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 15k Delays and extra cost Risk Value 5k Arch Hill Risk Allowance included in costs: 106,900 Risk Description Prob and Severity 1 Acquisition of land 2 x 5 2 x 4 2 Further information 3 x 3 required on outcome 3 x 1 Score Time/ Cost 10 (T) 8 (C) 9 (T) 3(C) Impact of occurrence Delays and extra costs Risk Value 2k Delays and extra costs Risk Value 500

47 of ecological survey 3 Statutory undertakers diversion works delays 4 Poor co-ordination and programming of statutory undertakers 5 Unforeseen services found during construction 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) Delays and extra cost Risk Value 10k Delays and extra cost Risk Value 10k Delays and extra cost Risk Value 5k Probability and Severity ranked 1-5 Royal Cornwall Hospital Roundabout Risk Allowance included in costs: 103,450 Risk Description 1 Inappropriate contract administration and supervision staff 2 Statutory undertakers diversion works delays 3 Poor co-ordination and programming of statutory undertakers 4 Unforeseen services found during construction 5 Ecological surveys required Prob and Severity 2 x 1 2 x 3 2 x 1 Score Time/ Cost 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 4 (C) 4 (T) 2(C) 6 (T) 2 (C) Impact of occurrence Delays and extra costs Risk Value 12.5k Delays and extra costs Risk Value 10k Delays and extra cost Risk Value 10k Delays and extra cost Risk Value 3k Delays and extra cost Risk Value 300 Probability and Severity ranked 1-5 Cycle Schemes Risks not individually assessed due to minor nature of individual schemes. A generalised 5.6% risk allowance has been made within the costings. The allowance is derived from Monte Carlo Quantitative Risk Analysis of 8 separate cycle schemes within Camborne, Pool and Redruth. The P70 risk value has been used. Milestones Activity (Prince 2 Stages) Period/Status Stage 0 Pre-Project Feasibility Complete Stage 1 Preliminary Design Underway Stage 2 Planning and Orders and April 2015-March 2016 Land assembly Stage 3 Detailed design April 2016-July 2016

48 Statutory Consents Stage 4 Procurement July 2016-October 2016 Stage 5 Construction November 2016-April 2017 Stage 6 Project Closure April 2018 Stage 7 Review and Monitoring April 2018-April 2021 Consent Required Planning Application Land Acquisition Others: e.g : Environmental Impact Assessment Protected Species Rail Consents Highways Agency S6 Agreement Environment Agency Consents Date/Current Status Can be delivered under GPDO Required for Arch Hill and Threemilestone. Included as part of consented application. Underway Likely N/A N/A Likely

49 Scheme/Package(s) West Cornwall Transport Interchange 1 The Challenge Maintaining the vitality and viability of the local economy In November 2012 a report was prepared by Ecorys Consultants, on behalf of Cornwall Council, reviewing the economic justification for the West Cornwall Transport Interchange. The report demonstrated the need for publicly-funded interventions to help increase the economic competitiveness and support the growth of Penzance and other nearby settlements such as Hayle. The local economy would benefit from a more diverse sectoral composition and an increase in higher value added and nonseasonal employment opportunities. Within the towns of Hayle, St. Ives and Penzance, the challenge is to maintain and balance the vitality and viability of the town centres whilst developing a capacity for economic diversification. Congestion on the strategic transport network in the summer The area attracts a significant number of tourist visitors and benefits from the associated economic activity. However, visitors to Cornwall more generally have highlighted car parking and traffic congestion as two of the three biggest issues which impact on the enjoyment of their visit. Tourist and business/commuter/leisure travel around the west Cornwall area is dominated by the private motor vehicle and at present there are a few opportunities to leave the car behind and take an alternative mode of transport. A 40% increase in traffic volume in the summer results in lengthy queues along the unimproved sections of A30 trunk road west of St Erth, as well as within the towns of St Ives and Penzance. This results in congestion, queuing, rat running along narrow local lanes and increased noise and pollution. The congestion problems are discouraging investment in West Cornwall as well as reducing journey time reliability and results in annual congestion costs of 1.6m. Strategic rationale and description Given the identified specific economic challenges in St. Erth, St. Ives, Hayle and Penzance, the location of St. Erth proposals present a unique opportunity for a public transport facility to be provided such that it will be commercially viable and support sustainable development. It will also actively support strategic employment areas complementary to town strategies. The project was developed following a number of transport studies for west Cornwall carried out The Parking and Park and Ride Policy for Penwith Phase II report by Halcrow Consultants for Penwith District Council in 2005 identified St Erth as the preferred location for a Park and Ride site in west Cornwall. The project presents a unique opportunity to develop access and capacity at St Erth and provide a facility that will support sustainable transport to the key towns. It will actively support the development of key employment sites at St Erth which will complement the aims 1 Transport Annex, Report 3, West Cornwall Signalling Business Case: Parsons Brinckerhoff(March 2014)

50 and objectives of the town strategies. The project will address overall demand for increased park and ride capacity on the St Ives branch line and a need to encourage greater use of the mainline rail services to the SIF areas of Penzance, Hayle, Truro, St Austell, Bodmin and beyond. Developed in partnership with Network Rail and the train operating company, First Great Western, the project will provide: An improved and signalised junction between the A30 trunk road and the Station Approach Road, which also serves St Erth village. A new access road across the northern frontage of the station which will also serve new employment land to the east Improvements to the existing station forecourt area Relocation of the existing northern station car park to increase capacity from 72 spaces to 97, to be served off the new access road via a roundabout A new step free crossing of the mainline railway to replace the existing unsuitable stepped bridge A new southern car park accessed from Trelowth Lane, providing a further 422 additional spaces on land south of the railway Complementary improvements to disabled parking facilities, bus stops, taxi facilities, drop off points, cycle and pedestrian facilities, electric vehicle charging points, new ticket machines, real time passenger information Complementary station enhancement works are being developed by FGW which include platform extensions and station building changes in order to increase passenger capacity. These are not costed in this Growth Deal Bid. Summary offer Delivery of upgraded station facilities and a Transport Interchange to release development opportunities at St Erth and supporting growth and regeneration in the west Cornwall towns. Improving the attractiveness of rail travel and supporting rail patronage Releasing capacity and reducing congestion on the A30 trunk road. Improved journey time reliability to and within west Cornwall Summary asks 4.53m in 2015/16 to support leverage of 3.0m Network Rail Access for All bridge funding 2.65m and other funding. All against a 10.18m total project cost. Government benefits Delivers Highways Agency trunk road improvements cost effectively and more rapidly reducing maintenance and running costs.

51 Delivers Network Rail infrastructure improvements cost effectively and more rapidly reducing maintenance and running costs. Secures infrastructure for successful 'future economy' and 'growth for business' SIF investments. Securing Great Western franchise revenues/savings through patronage growth. Supports aspirations for 30min mainline rail service through Cornwall. LGF costs and benefits Transport Benefits (discounted over 60 yrs) 3.4m 2 Wider Economic performance: Net Employment 210 new jobs 3 Net GVA 7.7m 4 The project is an enabler project which supports local development of employment space and the continued and improved provision of bus, rail, and cycle opportunities for travel in west Cornwall. Added value is created through the capacity for new developments through sustainable transport provision. Direct opening up of land with planning approval for employment space addresses local needs. Support for existing employment space improving access and the viability and scale of activities possible at existing industrial and business premises adjacent to the A30 trunk road. Indirect support for access improvement to larger areas of allocated employment space which could support further business cases. Supporting the viability of rail services, maximising patronage and support for further service improvements to both main line and branch line. Wider, non-monetised benefits that are directly attributable to transport investment in this location such as: o improved accessibility for public transport users o improved connectivity for west Cornwall o facilitation of business land growth o improved journey time reliability o reduced congestion on the A30 trunk road o improvements in air quality Governance PRINCE2 Project Management 2 Transport Annex, Report 1, Section 3: Methodology: Parsons Brinckerhoff (March 2014) 3 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014) 4 Transport Annex, Report 1, Section 4: Methodology: Parsons Brinckerhoff (March 2014)

52 Joint LEP/Cornwall Council Corporate Programme Board supported by Project Board with key roles as follows: Senior Responsible Officer: Director of Economy and Environment Cornwall Council Executive: Head of Capital Projects Cornwall Council Senior User: Transport Planning and Strategy Manager-Cornwall Council Cornwall Council Economic Development Representative LEP Representative NR Representative(s) FGW Representative(s) Senior suppliers: (1)Technical Services Manager or Engineering Design Manager Cornwall Council, Cormac Solutions (2) Successful Contractor s Area Manager Project Manager: Parsons Brinckerhoff Senior Engineer through Engineering Design Manager or Senior Project Manager Cornwall Council Cormac Solutions Procurement and Delivery Methodology Preparation design and Supervision: Cornwall Council Cormac Solutions Works Contract Procurement route: o Through Cornwall Council Capital Projects Framework Contract (OJEU Compliant Tender Procedure) Key risks The following risks are the most significant project risks excluding funding and political procedure risks which are relevant to the programme overall. Risk Allowance included in costs: 497,000 Risk Description 1 Programme delays and costs due to changes 2 Delays due to Stat Undertakers works 3 Delays due to damaging unforeseen services 4 Late procurement of UTX Delivery 5 Delays due to weather Prob and Severity 3 x 4 3 x 5 3 x 3 3 x 2 3 x 1 3 x 5 2 x 3 2 x 3 3 x 2 3 x 2 Score Time/ Cost 12 (T) 15 (C) 9 (T) 6 (C) 3 (T) 15 (C) 6 (T) 6 (C) 6 (T) 6(C) Impact of occurrence Delays and extra costs Risk Value 140k Delays and extra costs Risk Value 26k Delays and extra cost Risk Value 122k Delays and extra cost Risk Value 22k Delays and extra cost Risk Value 11k

53 Probability and Severity ranked 1-5 Key milestones Activity (Prince 2 Stages) Stage 0 Pre-Project Feasibility Stage 1 Preliminary Design Stage 2 Planning and Orders and Land assembly Stage 3 Detailed design Stage 4 Procurement Stage 5 Construction Period/Status Complete Complete Complete Complete Preferred bidder established but will need to retender July-Nov 2014 December December 2015 Stage 6 Project Closure January 2016 Stage 7 Review and Monitoring January 2016-January 2019 Statutory Consents Consent Required Date/Current Status Planning Application Confirmed March 2012 Land Acquisition Heads of terms agreed Highway dedications Agreed in principle Highways Agency S6 Agreement Heads of Terms agreed NR BAPA Consents Heads of Terms agreed NR Funding Agreement for With CC for signing Under Track Crossing Car Park Lease Agreements with Agreed in principle First Great Western

54 Scheme/Pac kage The Challenge Intelligent engine house app Cornwall experiences significant peaks in travel demand, particularly during summer months, when tourist traffic is at its greatest. This means that some infrastructure within the county is over-designed for normal flows, whilst other areas are unable to cope during busy times. It is proposed to provide residents, visitors and businesses with dynamic, intelligent and predictive information in order to inform their activity planning and schedule. The information provided will be focused on improving overall user experience through the provision of recommendations, alternative things to do or see and also travel options based on live dynamic data from businesses and equipment. Strategic rationale and description Recognised as the third highest export earner in the UK economy behind chemicals and financial services, tourism presents a huge economic opportunity, nowhere more so than in Cornwall, not just bringing business to Britain but driving new growth in the regions right across Britain, and helping more locally with the rebalancing of our economy. Tourism spending in the UK was 113bn in 2013; this was an increase of 6.0% from The Cornish economy has a net worth of 7bn of which 1.2bn was contributed by staying tourists, with Cornwall s environment being the predominant attraction. With an increasing trend in domestic tourism and shorter breaks/second stays, further compounded by the Ready-Steady-Aim approach to day planning, time is significantly more valuable to the end user. Historically data shows us that Cornwall experiences a significant increase of 23% in its transport network demand, not only at conventional commuting times, but also at holiday periods and seasonal summer months, when tourism numbers make an additional contribution to these demands. The Cornwall Visitor Survey 2012 sets out a number of facts about car use among tourists: For the majority of visitors (86%) the car or van was the main form of transport. Almost all (93%) of visitors who travelled by car/ van did not consider another form of transport for the journey. Those that were most likely to consider another form of transport were on a first trip to Cornwall (13% said they had considered another form of transport) and those in the younger age groups (15% of those aged under 34 considered an alternative). The impact of seasonal traffic flows on the Cornwall transport network is clear, with significantly more of the road network experiencing congestion. If summer traffic flows could be ameliorated, then the associated congestion would be similarly reduced. These peaks in demand indicate that while the capacity of the existing

55 infrastructure is out of sync with the network requirement and unable to accommodate the increase in capacity to accommodate the peak demand (leading to delays and unreliable journey times), it is underused at off-peak times, making physical improvements difficult to justify. This has an economic impact due to increased journey times, and also in terms of reduced tourist spend, which is vital to the Cornish economy. This problem is further exacerbated by sudden large shifts in demand due to factors such as the weather and an overall increase in the short stays/second break appeal within Cornwall, making the use of their time more critical. With Access Cornwall we have an unprecedented opportunity to not only take our tourism industry to a whole new level and experience, but also support local businesses and residents with accurate information to cope with the peaks. The Access Cornwall App will provide dynamic information on multi-modal travel options and house an intelligence engine to analyse and predict network conditions based on a series of variables significant to the users based on their activity or personal preferences profile. What is so different about this approach is that the devices and operational resources are supplied free of charge by the user. The Access Cornwall app will collate information from a smart on-street infrastructure, public sector data repositories such as and local attractions/businesses; then apply intelligence to predict network capacity at any given time, optimal travel modes and live scheduling. The App will go further in drawing data from local businesses or attractions based on considerations such as attraction capacity, live events tides and weather, to provide the user with suggestions to maximise their time whilst improving their stay and travel experience. Central to the delivery of the Access Cornwall Project is a number of key mechanisms that have already been tried, tested and put in place. On-site equipment and back off system integration has been trialled and tested to allow interaction and manipulation of information from a mobile ios platform device; A phase 1 Environment App has been developed and deployed on number field mobile devices within the Council to allow systems and service information to interrogated and manipulated while working from any location in Cornwall. An EU tendered Integrated Technologies Contract has been mobilised as a mechanism to delivery a wide range of ITS type systems and equipment within the boundaries of Cornwall. Summary It proposed that the app will be available to download onto smart mobile devices, providing the user with a wealth of intelligent and live information that is not only simplistic and intuitive to use, but more importantly, reliable, beneficial for the economy, transport network and improves the overall experience of the varying and seasonal demographic. Also providing an active guide for visitors, a tool for businesses and a life style consultant for students and residents. A free of charge app using smart mobile technology providing a variety of

56 offer Summary asks Government benefits LGF costs and benefits benefits for Cornwall s businesses, residents and visitors to support Cornwall s economic prosperity 4.54m App development 0.313m Infrastructure 3.991m Business supplement and media 0.150m (Above figures include a 25% contingency) Long term savings on investment on the roads infrastructure through smarter management and use of the existing road network. Previously delivered: Baseline Infrastructure Baseline Systems & Adaptors Environment App 1.200m 0.280m 0.080m Benefits: Affordable and targeted advertising platform for local businesses providing the ability to promote real-time offers and capacity information Standardised framework for future attraction/business smart infrastructure eg. e-ticketing, QR code scanning, near-field communication (NFC) schemes Comparison of historical and real-time travel data to influence travel behaviour through nudging road users to maximise the efficiency of the road network, public transport network and car parks Improves the travel experience and reduces road congestion An even spread of visitors throughout attractions in Cornwall The scheme is also anticipated to have a significant beneficial impact for the wider economy and reputation for Cornwall Governance

57 Key risks Risk Description Risk Consequence Likelihood % Risk Rank Smart application bid/pitch not Delay / cancel scheme 25% 2 completed within required timescales Scheme does not receive Delay / cancel scheme 25% 2 approval or full funding App development delayed or not completed to required specifications Delay scheme / simplified app intelligence 25% 1 Infrastructure installation/configuration issues (on site) Delay scheme / additional cost / revised programme 25% 4 Business supplement funding not approved in full Simplified app intelligence / benefit 25% 4 Media/Communications/Publicity Revised programme 25% 4 Project delays Delay scheme / additional cost 25% 7