Agenda item

(Environment Portfolio Holder) To consider the attached report (C-028-2010/11).

(1)        That the completion of the works for the restoration and remediation of the Bobbingworth former landfill site be noted;

(2)        That the commencement of the seven-year after care maintenance agreement by Veolia Environmental Limited be noted;

(3)        That the final account for the project be noted;

(4)        That the estimated capital saving of £38,000 be retained within the project budget;

(5)        That a further report be submitted outlining the estimated savings in ongoing revenue maintenance costs by retaining and utilising the capital savings, for example by purchase  of maintenance equipment; and

(6)        That the Environment Portfolio Holder be authorised to consult on and agree the membership and terms of reference for the Local Liaison Group previously agreed.

The Environment Portfolio Holder presented a report upon the Final Account for the restoration and remediation project at the former landfill site in Bobbingworth.

The Portfolio Holder stated that the target price agreed with Veolia for construction and design of the scheme had been £2,079,159; the final account had now been completed and the total payable to Veolia was £2,110,102, which was £30,943 over budget. In accordance with the terms of the contract, this overspend was to be shared equally between the Council and Veolia, reducing the total payable by the Council to £2,094,630 including the £20,000 for tree planting. It was also a requirement of the consent for the District Council to pay the County Council for the repair of any damage to the local highways caused by the lorry movements. The final assessment of the damage was £6,411 – which was significantly less than the £60,000 set aside by the Council. A separate sum of £37,653 had also been paid to the County Council as a Deposit Fee under the Section 278 agreement. The County Council had now returned 90% of the Deposit Fee, with the remainder due for release at the end of the 12 month maintenance period.

The Portfolio Holder added that all of the construction works had been completed barring a few items, which had been estimated to cost £41,000 to complete. It was proposed that Council Officers complete these outstanding works from within the existing budget allocation, without the need to delay completion of the Final Account. It was noted that costs would be higher if these minor works were completed by Veolia, mainly due to their 15% handling costs, design and supervision fees. With the formal completion of the project, the Cabinet was requested to note the commencement of the seven year after-care maintenance agreement by Veolia.

The Portfolio Holder reminded the Cabinet that the total approved budget for the scheme had been £2,492,000, excluding the £20,000 from Essex County Council for tree planting. Total expenditure so far had been £2,413,000, a shortfall of £78,000. Allowing for the remaining works estimated to cost £41,000, there would a saving of £38,000. It was proposed to retain this saving within the project budget and submit a further report outlining how the use of this money to purchase maintenance equipment would enable the Council to make further revenue savings on the maintenance budget in future years.

The Portfolio Holder concluded that the Cabinet had earlier resolved to form a local advisory group to assist with the on-going management of the site. The group would offer advice and assist with activities such as applications for funding and other local community participation events, but would not have any decision making powers. The Cabinet was requested to authorise the Portfolio Holder to consult upon, and agree both the membership of the group as well as its terms of reference.

In response to questions from the Members present, the Portfolio Holder reported that no decisions had been made over the membership of the Liaison Group but it would have some involvement from the Parish Council. No decision had yet been made over when the public would be given access to the site; this would be decided by Officers in consultation with Veolia, probably in 2011. The Assistant Director (Technical) added that the site had to be made safe before the public could be permitted access.

Decision:

(1)        That the completion of the works for the restoration and remediation of the Bobbingworth former landfill site be noted;

(2)        That the commencement of the seven-year after care maintenance agreement by Veolia Environmental Limited be noted;

(3)        That the final account for the project be noted;

(4)        That the estimated capital saving of £38,000 be retained within the project budget;

(5)        That a further report be submitted outlining the estimated savings in ongoing revenue maintenance costs by retaining and utilising the capital savings, for example by purchase  of maintenance equipment; and

(6)        That the Environment Portfolio Holder be authorised to consult on and agree the membership and terms of reference for the Local Liaison Group previously agreed.

Reasons for Decision:

It was a requirement of the Council’s Constitution to present a final account for any scheme costing in excess of £1million.

The formation of a local liaison group would provide advice and assistance to the Officers responsible for the day to day management of the site.

Other Options Considered and Rejected:

Costs would be higher if the Final Account was delayed until all minor works were complete.

To allow the local liaison group to assume decision making powers, however it was felt that control should remain with Officers and the Portfolio Holder due to the site’s former use as a landfill site.