Capital plan Monitoring report - Argyll and Bute · HEAD OF STRATEGIC FINANCE 10 MARCH 2011 CAPITAL...

ARGYLL AND BUTE COUNCIL EXECUTIVEHEAD OF STRATEGIC FINANCE 10 MARCH 2011 CAPITAL PLAN MONITORING REPORT – 31 DECEMBER 2010: SUMMARY 1 INTRODUCTION

1.1 This report summarises the position for all departments on the capital plan as at

31 December 2010. The report compares actual and budget expenditure for the period 1 April to 31 December 2010, forecast and budget expenditure for the whole of 2010-11 and total project forecast and budget expenditure. • Forecast outturn is slippage of £1,217k

• Year to date actual is below budget by £3,001k • Total project costs forecast to exceed the budget by £215k

2 RECOMMENDATIONS

2.1 The capital plan position report is noted. 2.2 The budget adjustments outlined in section 3.4 are approved.

3 FORECAST OUTTURN POSITION 3.1

3.2

The current forecast outturn position as at the end of December 2010 is for a forecast variance of £1,217k. Forecast expenditure for the whole of 2010-11 is £20,187k compared to a budget of £21,404k. The main projects contributing to the slippage are: Project Variance

£000sExplanation

B833 Peaton Rd to Clynder 219 Preliminary estimate cost & programme figures used. The project has now been reprofiled for delivery in 2011.

B842 Conieglen nr Southend 210 Landowner has now signed missives - awarding works contract is imminent with a view to works starting February & completing in 11-12. Final cost could be lower than budget as tender rates are lower than expected. However there is significant risk of increased quantities and outturn forecast is retained unchanged.

3.3

Rothesay Harbour Sub-structure

187 Tender awarded work commencing late January on 12 week programme this includes a significant contingency allowance due to unexpectedly low tender.

Rothesay Harbour Ferry Berth Improvements

182 The contractor is responsible for remedying faults with lifts in the passenger access gangway. The Retention will be held until the Council is satisfied that they have been remedied during an agreed trial period.

IT PC Replacement 149 The spend profile has been realigned to allow for the corporate audit of existing equipment to complete, prior to finalising the replacement plan for this and future years.

Helensburgh Office Project 133 Stabilisation works to Clyde Street school building delayed due to the suspected presence of bats, consultation with Bat Specialist and Scottish Natural Heritage have taken place and a way forward established. Contract acceptance is imminent but some expenditure originally programmed for 10/11 will now occur in 11/12.

Environmental 118 Kilmun Mausoleum slipped to 2011-12 due to delays from funding partners. Mossfield pitch contract will be awarded this year for work to be done during closure period next year.

Total £1,198k The table below outlines the main projects on which slippage has increased since November. Project

Variance £000s

Explanation

Rothesay Harbour Ferry Berth Improvements

177 The contractor is responsible for remedying faults with lifts in the passenger access gangway. The Retention will be held until the Council is satisfied that they have been remedied during an agreed trial period.

3.4

Helensburgh Office Project 97 Stabilisation works to Clyde Street school building delayed due to the suspected presence of bats, consultation with Bat Specialist and Scottish Natural Heritage have taken place and a way forward established. Contract acceptance is imminent but some expenditure originally programmed for 10/11 will now occur in 11/12.

Capital Property Works 75 Over estimation of expenditure at Tobermory has allowed for two projects to be funded from the main property line.

PC Upgrades 50 Delay in works being procured by Facility Services.

Total £399k The following adjustments have been made to the phasing of budgets as the result of a detailed review of the implementation plans of the projects. These changes do not represent any change in the total budget for the projects. Project Budget

£000s Action

Dunoon Children’s Unit – Gross

450 Transferred to 2011-12 – No indications of an early start by the Developer.

Dunoon Children’s Unit - Income

464 Transferred to 2011-12 – No indications of an early start by the Developer.

Campbeltown Grammar 339 Transferred to 2011-12 – Very competitive tenders received for this year’s work.

Flood Prevention – Service Development

294 Transferred to 2011-12 – Scheme reviewed through the development of an OBC.

North Bute Primary School 227 Transferred to 2011-12 Kidston Park 195 Transferred to 2011-12 – Project under

review and new business case in preparation.

Class Size Reduction 148 Transferred to 2011-12 – Very competitive tenders received and projects for Rhu and Taynuilt have been reviewed.

Flood Prevention – Asset Sustainability

140 Transferred to 2011-12 – Business case to be reviewed.

Milton Burn 138 Transferred to 2011-12 – Scheme has been reviewed following receipt of tenders

Bridge Strengthening 124 Transferred to 2011-12 – Programme of work has been reviewed.

Dunclutha Bungalow 122 Transferred to 2011-12 – No indications of an early start to the Developer

Glencruitten Hostel 113 Transferred to 2011-12 – Project complete but delay in agreeing final cost of works with Contractor.

A848 Salen to Tobermory 109 Transferred to 2011-12 – Project has been reviewed following evaluation of costs.

Dalintober Primary School 80 Transferred to 2011-12 – Very competitive tenders received for this year’s work.

Burnet Building 25 Transferred to 2011-12 – Allows budget to be used as match funding for possible grant funding.

3.5

The graph below shows the forecast outturn and budget per department.

0

5,000

10,000

15,000

20,000

25,000

Customer Services Development and Infrastructure Services

Total

£000's

Forecast Outturn vs Budget by Department

Full Year Forecast

Full Year Budget

3.6

The graph below shows the trend as slippage.

0

500

1,000

1,500

2,000

2,500

£000's

Cumulative Slippage by Department

Customer Services Development and Infrastructure Services Total

4 4.1 As at 31 December 2010, the year to date actual is less than the budget by £3,001k. Actual expenditure is £12,892k compared to a budget of £15,893. The main projects contributing to the year to date underspend are outlined in Appendix 1.

4.2 The graph below shows actual expenditure compared to budget per department.

0

5,000

10,000

15,000

20,000

Customer Services Development and Infrastructure

Services

Total

£000's

YTD Actual vs YTD Budget by Department

YTD Actual

YTD Budget

4.3 The graph below compares expenditure to date against forecast outturn to show the annual expenditure still to be incurred.

0%

20%

40%

60%

80%

100%


Total

YTD Actual vs Remaining Full Year Forecast

Remaining Full Year Forecast

YTD Actual

5 TOTAL PROGRAMME

5.1 The current financial outturn position as at the end of December 2010 is for a total project cost overspend of £215k. Current forecast total project cost is £133,819k against a budget of £133,604k.

5.2 The main project contributing to the overspend is:

Project Variance £000s

Explanation

Campbeltown Grammar 160 Overspend is as a result of additional unforeseen work including the replacement of the flue for the heating boilers, acceleration of elements of work to facilitate natural breaks in site operations, and the necessary payment of fees for design work for future phases.

Total £160k 5.3 The graph below shows how the £215k overspend is distributed across the

departments. The pale shade represents the forecast total project cost and the darker shade represents the total project cost budget.

020,00040,00060,00080,000

100,000120,000140,000160,000


Total

£000's

Comparison of Total Project Cost to Budget

Total Project Cost Forecast

Total Project Cost Budget

6

PROJECT PERFORMANCE 6.1 The graph below shows the status of asset sustainability projects shown as

Complete or On Target, Off Target & being recovered or Off target & a problem. At 31 December the position was:

• 1 projects Off Target & a Problem • 9 projects Off Target & Recoverable • 183 projects On Target

Asset Sustainability

0%20%40%60%80%

100%


Asset Sustainability Status

Off Target & a Problem

Off Target & Recoverable

Complete or On Target

6.2 The graph below shows the status of service development projects shown as Red,

Amber or Green. At 31 December the position was:

• 7 projects shown as Red • 13 projects shown as Amber • 41 projects shown as Green

Service Development

0%

20%

40%

60%

80%

100%


Service Development Status




6.3 The graph below shows the status of strategic change projects shown as Red,

Amber or Green. At 31 December the position was: 6 projects shown as Red 1 projects shown as Amber 11 projects shown as Green Strategic Change

0%20%40%60%80%100%


Strategic Change Status




For further information please contact Bruce West, Head of Strategic Finance 01546-604220

Bruce West Head of Strategic Finance 17 January 2011

APPENDIX 1

ProjectYtd

SlippageYtd

BudgetYtd

Actual2010-11 Budget

Forecast Outturn

Outstanding Expenditure

% of Forecast Outturn Action

£000's £000's £000's £000's £000's £000's £000'sRothesay Harbour Substructure 480 480 0 487 300 300 100.00% Tender awarded work commencing late January on 12 week programme this includes a

significant contingency allowance due to unexpectedly low tenderMull & Iona PCC 313 419 106 419 419 313 74.70% The forecast is based on information from the consultant project manager who is running the

contract on behalf of the various funding partners.

B842 Conieglen near Southend 225 301 76 370 160 84 52.50% Landowner has now signed missives - awarding works contract is imminent with a view to works starting February & completing in 11-12. Final cost could be lower than budget as tender rates

l h d H h i i fi i k f i d i i dIT Enablement Process for Change 219 285 66 597 597 531 88.94% Significant further Customer Mgt project spend ( £104,133 ) has already occurred against a Revenue cost centre which will be 'capitalised' prior to year end . Commitments are imminent on a Room Booking system and upgrades to Customer Service Points .

Lighting 205 550 345 628 628 283 45.06% The programme of works is on track for completion and the payments are working their way through the system.

Helensburgh Office Project 194 389 195 533 400 205 51.25% Stabilisation works to Clyde Street school building delayed due to the suspected presence of bats, consultation with Bat Specialist and Scottish Natural Heritage have taken place and a way forward established. Contract acceptance is imminent but some expenditure originally programmed for 10/11 will now occur in 11/12.

Oban High 176 200 24 210 220 196 89.09% Project subject to delay as a result of unrecorded water main being discovered on site all necesarry steps being taken to mitigate delay.

IT PC Replacement 155 317 162 647 498 336 67.47% Spend profile realigned to allow for completion of survey of all existing PCs in the Council , prior to finalising replacement plan.

Environmental 150 150 0 250 102 102 100.00% Projects not yet started. Any uncommitted sums will be vired to Roads Reconstruction.

Oban Municipal Buildings 139 153 14 295 242 228 94.21% Tenders received for the works at the municipal building, Oban are under budgetHelensburgh Swimming Pool 117 594 477 656 656 179 27.29% Sufficient information now available to forecast an under budget outcome - savings to be vired

within Facility services programme

Zero Waste Fund 101 101 0 101 101 101 100.00% Payment of £50k for Mull Telehandler processed in January.Traffic Management 100 155 55 155 155 100 64.52% The programme of works is on track for completion and the payments are working their way

through the system.

2,574

Current Financial Year To Date Full Year This Financial Year Total Project CostsActual Budget Variance Forecast Budget Variance Forecast Budget Variance£000s £000s £000s £000s £000s £000s £000s £000s £000s

Asset SustainabilityCustomer Services 4,589 5,077 488 7,508 7,441 -67 45,971 45,217 -754Development & Infrastructure Services 5,253 6,857 1,604 7,247 7,991 744 20,512 20,622 110Asset Sustainability Total 9,842 11,934 2,092 14,755 15,432 677 66,483 65,839 -644Service Development ProjectsCustomer Services 1,032 1,591 559 2,289 2,452 163 10,476 10,305 -171Development & Infrastructure Services 473 458 -15 871 994 123 11,552 12,185 633Service Development Total 1,505 2,049 544 3,160 3,446 286 22,028 22,490 462Strategic Change ProjectsDunoon Primary - Joint Campus 27 20 -7 75 75 0 75 75 0Campbeltown Schools Redevelopment 16 20 4 20 75 55 75 75 0New Helensburgh Swimming Pool 91 91 0 107 107 0 160 160 0Oban Office Rationalisation 0 15 15 30 30 0 30 30 0Carbon Management 0 0 0 40 40 0 1,415 1,415 0NPDO Capital Requirement - residual payments 5 0 -5 174 174 0 6,098 6,098 0Aqualibrium - residual payments -7 0 7 -1 -8 -7 6,178 6,171 -7Helensburgh Office Project 195 389 194 400 533 133 2,575 2,575 0Improvements to Landfill Sites 11 50 39 50 50 0 1,221 1,221 0Campbeltown Infrastructure Improvements 837 671 -166 950 750 -200 6,600 6,600 0Oban Development Road 198 297 99 270 357 87 470 470 0A848 Salen - Tobermory 125 125 0 160 160 0 390 390 0Campbeltown Harbour 0 1 1 1 1 0 2,678 2,678 0Bruichladdich Pier 7 12 5 28 28 0 2,104 2,104 0Rothesay Harbour Ferry Berth Improvements 13 103 90 15 197 182 6,422 6,422 0Dunoon Pier Phase 1 (C. Fund) 0 0 0 0 0 0 987 987 0Port Askaig Pier 27 116 89 -50 -37 13 3,794 3,777 -17Improvements to Landfill Sites Islay & Mull 0 0 0 3 -6 -9 4,036 4,027 -9Strategic Change Total 1,545 1,910 365 2,272 2,526 254 45,308 45,275 -33Total for all Departments 12,892 15,893 3,001 20,187 21,404 1,217 133,819 133,604 -215

ARGYLL AND BUTE COUNCIL - CAPITAL PLAN MONITORING REPORT - OVERALL COUNCIL FINANCIAL SUMMARY - 31 DECEMBER 2010

Year to date expenditure is £12,892k compared to the year to date budget of £15,893k, resulting in a variance of £3,001k. The forecast for the whole of 2010/11 is for expenditure of £20,187k compared to the budget of £21,404k, giving a variance of £1,217k. In terms of total project costs these are currently forecast to exceed the budget by £215k.


Asset SustainabilityEducation 2,350 2,622 272 2,984 3,182 198 3,707 3,601 -106Non Education 30 290 260 483 614 131 989 964 -25Rothesay Swimming Pool 0 30 30 30 30 0 270 270 0Shared Offices 0 5 5 8 10 2 8 10 2Oban Municipal Buildings 14 153 139 242 295 53 253 295 42Fleet Management 375 171 -204 853 853 0 4,970 4,970 0Residual Projects 1,820 1,806 -14 2,908 2,457 -451 35,774 35,107 -667Asset Sustainability Total 4,589 5,077 488 7,508 7,441 -67 45,971 45,217 -754Service Development ProjectsConsolidated Server Replacement 0 0 0 0 0 0 690 700 10IT Enablement Process for Change 66 285 219 597 597 0 1,113 1,113 0Applications Projects 0 0 0 80 114 34 504 504 0IT PC Replacement 162 317 155 498 647 149 1,831 1,831 0Archives 4 0 -4 127 127 0 183 183 0Income Recovery/Debtors 0 0 0 0 -2 -2 41 39 -2Flexi System Ph 2 extra sites 0 7 7 0 17 17 30 36 6Flexi System HRS Integration 0 0 0 0 37 37 37 37 0Cash Receipting 2 2 0 2 5 3 85 88 3Roads Costing 3 7 4 3 3 0 80 80 0Fleet Management - IT 29 41 12 43 62 19 61 80 19Home Working /Mobile Working Pilot 0 11 11 11 11 0 72 72 0Time Management System 0 0 0 0 0 0 59 59 0Rhu Primary School ( Extension ) 0 0 0 0 1 1 71 72 1Achahoish Primary School ( New Build ) 0 0 0 0 -3 -3 39 36 -3Southend Primary School (Partial re-build) 7 0 -7 7 -2 -9 86 77 -9Class size reduction 182 182 0 200 200 0 687 700 13Tobermory Early Years - Tobermory High 164 20 -144 164 139 -25 473 413 -60Campbeltown Nursery - Capital Fund 52 49 -3 65 49 -16 539 523 -16Bowmore PS Gaelic Unit 12 0 -12 12 -6 -18 33 0 -33Ledaig Replacement of Mobile Home 0 0 0 61 61 0 68 61 -7Campbeltown All Weather Pitch 1 0 -1 30 32 2 32 32 0Office Rationalisation 5 0 -5 15 38 23 677 677 0Garelochhead Day Centre 0 0 0 5 -37 -42 546 504 -42Mull & Iona Progressive Care Centre 106 419 313 419 419 0 767 767 0Residential Respite Care Facility 236 250 14 260 302 42 513 543 30

ARGYLL AND BUTE COUNCIL - CAPITAL PLAN MONITORING REPORT - FINANCIAL PERFORMANCE -CUSTOMER SERVICES - 31 DECEMBER 2010

Dunoon Childrens Unit 0 0 0 0 0 0 0 0 0Dunclutha Bungalow 1 1 0 1 1 0 180 148 -32Tarbert HS S/C STP Facility 0 0 0 8 8 0 219 219 0Kirkmichael Com Playing Field 0 0 0 8 8 0 56 56 0Bute Shinty Pitch Upgrade 0 0 0 0 -18 -18 2 -16 -18Oban High Community Facility 0 0 0 -330 -332 -2 379 377 -2KMMF Tobermory Facility 0 0 0 3 -26 -29 323 294 -29Service Development Total 1,032 1,591 559 2,289 2,452 163 10,476 10,305 -171Strategic Change ProjectsDunoon Primary - Joint Campus 27 20 -7 75 75 0 75 75 0Campbeltown Schools Redevelopment 16 20 4 20 75 55 75 75 0New Helensburgh Swimming Pool 91 91 0 107 107 0 160 160 0Oban Office Rationalisation 0 15 15 30 30 0 30 30 0Carbon Management 0 0 0 40 40 0 1,415 1,415 0NPDO Capital Requirement - residual payments 5 0 -5 174 174 0 6,098 6,098 0Aqualibrium - residual payments -7 0 7 -1 -8 -7 6,178 6,171 -7Helensburgh Office Project 195 389 194 400 533 133 2,575 2,575 0Strategic Change Total 327 535 208 845 1,026 181 16,606 16,599 -7Departmental Total 5,948 7,203 1,255 10,642 10,919 277 73,053 72,121 -932

Actual expenditure to date is £5,948k compared to the year to date budget of £7,203k, resulting in a variance of £1,255k. At this stage it is forecast that actual expenditure this year will be £10,642k compared to a budget of £10,919k resulting in a variance of £277k. In terms of total project costs these are currently forecast to exceed the budget by £932k.

Asset Sustainability Project ProgressComplete

or On Target

Off Target & Being

Recoverd

Off Target & Problem

Comments On Asset Sustainability ProgrammesNo Of

ProjectsNo Of

ProjectsNo Of

ProjectsEducation 30 0 0Non Education 8 1 0Rothesay Swimming Pool 1 0 0Shared Offices 1 0 0Oban Municipal Buildings 1 0 0Fleet Management 1 0 0Residual Projects 103 5 1

Asset Sustainability Total 145 6 1

Service Development ProjectsCompletion of OBC Curr Year

ExpProject

Total ExpBenefits Expected

Deliverability Of Project

Project Risks

Exception Report

Comments

Due Date On Track RAG RAG RAG RAG RAG Yes/NoIT Enablement Process for Change 22/12/2009 Yes G G G G G NoApplications Projects A G G G G NoCampbeltown All Weather Pitch G G G G G NoIT PC Replacement R G G G G YesArchives G G G G G NoIncome Recovery/Debtors A A G G G NoFlexi System Ph 2 extra sites A A G G G NoFlexi System HRS Integration A G G G G NoCash Receipting A A G G G NoRoads Costing G G G G G NoFleet Management - IT A A G G G NoHome Working /Mobile Working Pilot G G G G G NoTime Management System G G G G G NoTobermory Early Years - Tobermory High A R G G G YesRhu Primary School ( Extension ) G G G G G NoAchahoish Primary School (New Build) G G G G G NoSouthend Primary School (Partial re-build) G G G G G NoClass size reduction G G G G G NoCampbeltown Nursery - Capital Fund G G G G G No

ARGYLL AND BUTE COUNCIL - CAPITAL PLAN MONITORING REPORT - PROJECT PERFORMANCE -CUSTOMER SERVICES - 31 DECEMBER 2010

Out of 152 asset sustainability projects there are 145 on target or complete, 6 off target but being recovered. This leaves 1 project which is off target and a problem. •Server Accommodation - An additional £82k is required to complete the extension & upgrade. A second UPS was ommitted from the tender costs. In addition due to the prolonged delay and need to retender for the building work, internal Property fees have increased significantly.

Residual projects already approved, no need for OBC

There are red flags against 4 of the 32 service development projects. IT PC Replacement is classed as red against current year spend. Tobermory Early Years is classed as red against total project costs. Dunoon Children's Unit & Dunclutha Bungalow are classed as red against deliverability of project and project risk.

Bowmore Gaelic Unit G G G G G NoLedaig Replacement of Mobile Home G G G G G NoOffice Rationalisation G G G G G NoGarelochhead Day Centre G G G G G NoMull & Iona Progressive Care Centre G G G G G NoResidential Respite Care Facility G G G G G NoDunoon Childrens Unit G A A R R YesDunclutha Bungalow G A A R R YesTarbert HS S/C STP Facility G G G G G NoKirkmichael Com Playing Field G G G G G NoBute Shinty Pitch Upgrade G G G G G NoOban High Community Facility G G G G G NoKMMF Tobermory Facility G G G G G NoStrategic Change Projects

Completion of OBC Completion of FBC Curr Year Exp

Project Total Exp

Benefits Expected


Project Risks

Due Date On Track Due Date On Track RAG RAG RAG RAG RAGDunoon Primary - Joint Campus 01-Nov-10 Yes G G G G GCampbeltown Schools Redevelopment 01-Nov-10 No R G G A GOban Office Rationalisation 01-Oct-10 Yes G G G G GCarbon Management G G G G GNew Helensburgh Swimming Pool Oct-09 Yes G G G G GHelensburgh Office Project Mar-09 Approved Jun-10 Yes R G G G G

NPDO Capital Requirement - residual payments G G G G GAqualibrium - residual payments G G G G G

Capital Plan Commentary - Key Successes Capital Plan Commentary - Key Challenges Capital Plan Commentary - Key ActionsImplementing remaining projects prior to the end of the financial year.

Decisions/Approval Required

None

Residual projects already approved, no OBC required

Residual projects already approved, no FBC required

Project Name – IT PC Replacement First Added to Capital Plan – 2010/11 Project Manager – Gerry Wilson Tender

Issue Tender Return

Works Start

Works Complete

Cost £

Original Plan: Gross Exp Income Net Exp

n/a n/a August 2010

March 2011

£647,000 in 2010-11

Current Forecast: Gross Exp Income Net Exp

n/a n/a November 2010

August 2011

£498,000 in 2010-11

Variance: Gross Exp Income Net Exp

£149,000 in 2011-12

Contractor :

PCs and laptops to be procured through existing framework contracts and deployed via in-house corporate IT function.

What is this project? A PC replacement programme covering all corporate and education PCs and laptops. How is this project funded? Jointly from the IT & Community Services Capital Programmes . Why is this project classified as red? The programme has slipped. What has caused the issue outlined above? The programme requires a full baseline audit of all PCs and laptops in use across the Council. This audit will not complete until October. What action will be taken to rectify this issue? Additional temporary staff support required to complete the audit. What are the implications of the action proposed? Slippage to 2011/12.

Project Name – Tobermory Early Years Unit First Added to Capital Plan – 09/10 Project Manager – A S Redpath Tender

Issue Tender Return

Works Start

Works Complete

Cost £


June 2009

July 2009 October 2009

April 2010 413,000

0413,000


June 2009

July 2009 October 2009

May 2010 496,00023,000

473,000Variance: Gross Exp Income Net Exp

-83,00023,000

-60,000Contractor What is this project? Provision of new Early Years unit at Tobermory School. How is this project funded? From the Primary Education Capital programme Why is this project classified as red? The estimated total project expenditure has increased from the budgeted £413,000 to £496,000. What has caused the issue outlined above? Increased costs have been incurred as a result of delays and redesign of foundations associated with the discovery of a water main on site. In addition various additional items have been necessary include additional surface water drainage to the existing car park, and resurfacing areas of tarmac adjacent to the building. What action will be taken to rectify this issue? All necessary steps have been taken to minimise the additional costs. What are the implications of the action proposed? The additional expenditure shall be funded from under spends on other projects.

Notes a) Dates awaited from Governance and Law b) Dates awaited from Governance and Law

Project Name – Dunoon Childrens Unit First Added to Capital Plan – 04/05 Project Manager – A S Redpath Tender

Issue Tender Return

Works Start

Works Complete

Cost £


n/a n/a July 2005 March 2006 464,000

464,0000


n/a n/a Unknown See note

a

Unknown See note

b 464,000464,000

0


000

Contractor Ecos Construction What is this project? The replacement of the existing unit. How is this project funded? The construction of the home is free of charge to the council as part of the offer for the larger Dunclutha site. Why is this project classified as red? The deliverability and project risks are currently classified as high given the Developers continued inability to progress the project in addition the forecast “expenditure” and corresponding income for the current financial year have been reduced to “0”. A building warrant has now been issued for the construction of the new home, however there are no indications of an early start on the works. What has caused the issue outlined above? Reluctance on the behalf of the developer, who is constructing the home, to expedite matters. What action will be taken to rectify this issue? Legal are pressing the Developer to submit a final/revised construction programme for the construction of the facility. What are the implications of the action proposed? The completion of the facility shall be delayed. A new completion date is currently awaited.

Project Name – Dunclutha Bungalow First Added to Capital Plan – 2009/2010 Project Manager – Allan Redpath Tender

Issue Tender Return

Works Start Works Complete

Cost £


Oct 2009

Dec 2009 January 2010 March 2010 148,000

0148,000


Nov 2009 Dec 2009 Unknown Unknown 180,000

0180,000


-32,000

0-32,000

Contractor Not yet appointed. What is this project? The conversion of a derelict bungalow adjacent to Dunclutha Children’s Home, into a new Social Work Day centre. Access into the new facility is gained from a new entrance road being constructed by the developer who is constructing the new and adjacent children’s home. How is this project funded? From the Social Work Capital programme Why is this project classified as red? The deliverability and project risks are currently classified as high given the Developers continued inability to progress the project, in addition expenditure in the current year has been reduced to “0”. A building warrant has now been issued for the construction of the new home, however there are no indications of an early start on the works. What has caused the issue outlined above? Access to the new Day Centre is gained from an extended access road and car park which serves the new Children’s Home. The new home is being constructed by a Developer and construction work is substantially behind programme. (Work has not yet started). Revised timescales are currently awaited from Legal and Protective Services.. What action will be taken to rectify this issue? Legal are pressing the developer for a revised construction programme. What are the implications of the action proposed? The opening of the facility continues to be delayed.


Asset SustainabilityEnvironmental 0 150 150 132 250 118 516 534 18PC Upgrades 0 50 50 0 50 50 150 150 0Bridge Strengthening 117 117 0 550 550 0 2,906 2,906 0Street Lighting 345 550 205 628 628 0 1,828 1,828 0Roads Reconstruction 4,033 4,129 96 4,129 4,129 0 8,764 8,764 0Traffic Management 0 70 70 169 100 -69 369 300 -69Glengorm 295 290 -5 296 300 4 300 300 0Zero Waste Fund 0 101 101 101 101 0 101 101 0Residual Projects 463 1400 937 1,242 1,883 641 5,578 5,739 161Asset Sustainability Total 5,253 6,857 1,604 7,247 7,991 744 20,512 20,622 110Service Development ProjectsA83 South of Muasdale 0 0 0 10 0 -10 600 600 0A849 Pennyghael Bridge Mull 3 1 -2 3 1 -2 133 131 -2A816 Oude Bridge Realignment 0 2 2 2 2 0 135 135 0A816 Tibertich No 1 Bridge 0 3 3 6 6 0 49 49 0A816 Ford Rd End to Mill Brae 5 0 -5 15 15 0 279 279 0B833 Footway Rosneath to Caravan Park 0 2 2 0 5 5 1 6 5U133 Glenloin Housing Scheme Footway 0 0 0 0 0 0 7 7 0Tayinloan Slip 235 238 3 500 500 0 2,150 2,650 500Helensburgh CA/ Recycling Site 0 0 0 0 -2 -2 2,075 2,073 -2Ardencraig Nurseries 2 0 -2 2 0 -2 336 334 -2Preliminary design for Regional Transport projects 0 0 0 0 74 74 192 266 74Public Transport Route West King St 0 5 5 0 5 5 295 300 5A814 Bend at Mollandhu 0 0 0 5 5 0 156 156 0Cycleways - H & L 5 2 -3 5 2 -3 8 5 -3Flood Prevention 41 41 0 72 72 0 1,039 1,039 0Carradale Harbour 0 0 0 5 0 -5 385 380 -5Kilbride Road 17 20 3 20 82 62 1,338 1,400 62Milton Burn 134 134 0 150 150 0 2,300 2,300 0Dunoon Town Centre Regeneration 0 0 0 0 0 0 30 30 0Bowmore Town Centre Regeneration 0 0 0 0 0 0 36 36 0Telematics 0 1 1 0 1 1 22 23 1Portnacroish to Inverfolla cycle route 5 5 0 0 0 0 -12 -12 0Safe Streets, Walking and Cycling 0 0 0 11 11 0 0 0 0B836 Sandbank - Dunoon 0 0 0 8 8 0 0 0 0Sealife Cnt to Creagan Br Ph 2A 0 0 0 13 13 0 0 0 0

ARGYLL AND BUTE COUNCIL - CAPITAL PLAN MONITORING REPORT - FINANCIAL PERFORMANCE - DEVELOPMENT & INFRASTRUCTURE SERVICES - 31 DECEMBER 2010

Kilmartin to B840 Cycleway 0 0 0 39 39 0 0 0 0Taynuilt Footbridge 3 3 0 6 6 0 0 0 0Marine Access to Nat. Park -1 0 1 -1 -1 0 -2 -2 0SPfT 08/09 3 1 -2 0 0 0 0 0 0Service Development Total 473 458 -15 871 994 123 11,552 12,185 633Strategic Change ProjectsImprovements to Landfill Sites 11 50 39 50 50 0 1,221 1,221 0Campbeltown Infrastructure Improvements 837 671 -166 950 750 -200 6,600 6,600 0Oban Development Road 198 297 99 270 357 87 470 470 0A848 Salen - Tobermory 125 125 0 160 160 0 390 390 0Campbeltown Harbour 0 1 1 1 1 0 2,678 2,678 0Bruichladdich Pier 7 12 5 28 28 0 2,104 2,104 0Rothesay Harbour Ferry Berth Improvements 13 103 90 15 197 182 6,422 6,422 0Dunoon Pier Phase 1 (C. Fund) 0 0 0 0 0 0 987 987 0Port Askaig Pier 27 116 89 -50 -37 13 3,794 3,777 -17Improvements to Landfill Sites Islay & Mull 0 0 0 3 -6 -9 4,036 4,027 -9Strategic Change Total 1,218 1,375 157 1,427 1,500 73 28,702 28,676 -26Departmental Total 6,944 8,690 1,746 9,545 10,485 940 60,766 61,483 717

Actual expenditure to date is £6,944k compared to the year to date budget of £8,690k, resulting in a variance £1,746k. At this stage it is forecast that actual expenditure this year will be £9,545k compared to the budget of £10,485k resulting in a slippage of £940k. In terms of total project costs these are currently forecast to come in under budget by £717k.

Asset Sustainability Project ProgressComplete

or On Target

Off Target & Being

Recoverd

Off Target & Problem

Comments On Asset Sustainability ProgrammesNo Of

ProjectsNo Of

ProjectsNo Of

ProjectsEnvironmental 1 0 0PC Upgrades 0 1 0Bridge Strengthening 1 0 0Street Lighting 1 0 0Roads Reconstruction 1 0 0Traffic Management 1 0 0Glengorm 1 0 0Zero Waste Fund 1 0 0Residual Projects 31 2 0Asset Sustainability Total 38 3 0

Service Development ProjectsCompletion of OBC Curr Year

ExpProject

Total ExpBenefits Expected


Project Risks

Exception Report

Comments

Due Date On Track RAG RAG RAG RAG RAG Yes/NoA83 South of Muasdale G G G A A NoA849 Pennyghael Bridge Mull Dec-12 Yes A A G G G NoA816 Oude Bridge Realignment Dec-12 Yes G G G G G NoA816 Tibertich No 1 Bridge Dec-12 Yes G G G G G NoA816 Ford Rd End to Mill Brae Aug-09 Yes G G G G G NoB833 Footway Rosneath to Caravan Park N/r A A G G G NoU133 Glenloin Housing Scheme Footway TBA G G G G G NoTayinloan Slip Dec-10 Yes G R G A A YesHelensburgh CA/ Recycling Site G G G G G NoArdencraig Nurseries G G G G G NoPreliminary design for Regional Transport projects R R G G G YesPublic Transport Route West King St G G G G G NoA814 Bend at Mollandhu G G G G G NoCycleways - H & L A G G A A NoFlood Prevention G A G G A NoCarradale Harbour A A G G G NoKilbride Road R A G G G YesMilton Burn G G G A A NoDunoon Town Centre Regeneration G G G G G No

Out of 41 asset sustainability projects there are 38 on track and 3 off track but being recovered.

ARGYLL AND BUTE COUNCIL - CAPITAL PLAN MONITORING REPORT - PROJECT PERFORMANCE -DEVELOPMENT & INFRASTRUCTURE SERVICES - 31 DECEMBER 2010

Residual projects already approved, no OBC required

There are red flags against 3 of the 29 service development projects. In 2 cases the current project cost is flagged as red. Tayinloan Slip and Preliminary Design for Regional Transport projects are flagged as red for total project cost.

Bowmore Town Centre Regeneration G G G G G NoTelematics G G G G G NoPortnacroish to Inverfolla cycle route G G G G G NoSafe Streets, Walking and Cycling G G G G G NoB836 Sandbank - Dunoon G G G G G NoSealife Cnt to Creagan Br Ph 2A G G G G G NoKilmartin to B840 Cycleway G G G G G NoTaynuilt Footbridge G G G G G NoMarine Access to Nat. Park G G G G G NoSPfT 08/09 G G G G G NoStrategic Change Projects

Completion of OBC Completion of FBC Curr Year Exp

Project Total Exp

Benefits Expected


Project Risks

Due Date On Track Due Date On Track RAG RAG RAG RAG RAGImprovements to Landfill Sites G G G G GCampbeltown Infrastructure Improvements Jan-00 Sep-10 R G G G AOban Development Road R G R R RA848 Salen - Tobermory G G R R RCampbeltown Harbour G G G G GBruichladdich Pier G G G G GRothesay Harbour Ferry Berth Improvements R G G A GDunoon Pier Phase 1 (C. Fund) G G G G GPort Askaig Pier A A G G GImprovements to Landfill Sites Islay & Mull G G G G GCapital Plan Commentary - Key Successes Capital Plan Commentary - Key Challenges Capital Plan Commentary - Key Actions

Road Reconstruction programme has received favourable comment from Members and the public.

Decisions/Approval Required

Design delays and cost increases have held back delivery of the flood prevention programme.

Despite reducing budgets we have to find a way to maintain Road Reconstruction at a level of at least £4 million per year.

Flood Risk Assessment matrix has been developed to inform prioritisation and improve programming. This will form part of the Business Case.Capital plan has been reviewed to identify any funds which can be reallocated to Road Reconstruction. Scope for funding through prudential borrowing to be explored.Campbeltown New Quay works being reviewed following value engineering exercise and in light of financial uncertainty.

Residual projects already approved, no

OBC required

Residual projects already approved, no

FBC required

Project Name – Preliminary Design for Regional Transport Projects First Added to Capital Plan – 2005 Project Manger: Arthur McCulloch Tender

Issue Tender Return

Works Start

Works Complete

Cost £


N/a N/a N/a N/a 266,000

0266,000


N/a N/a N/a N/a 192,000

0192,000


N/a N/a N/a N/a 74,000

074,000

Contractor N/a What is this project? It allows some preliminary design work to be done for potential Regional Transport projects. How is this Project Funded? Now fully funded from Council’s Capital Budget. Why is this project classified as red? Anticipated under spend in 10-11 and overall underspend. What has caused the issue outlined above? Schemes not identified that fit with the Council’s priorities given the likely funding reductions within SPT. What action will be taken to rectify this issue? No action to be taken. What are the implications of the action proposed? Reduction in expenditure overall leaving a balance to be allocated to Roads Reconstruction within 2011/12 by use of virement and as identified within proposed Asset Sustainability Capital programme to address Red Risks.

Project Name – Kilbride Road, Dunoon – Flood Prevention Scheme First Added to Capital Plan – 2000 Project Manger: Arthur McCulloch Tender

Issue Tender Return

Works Start

Works Complete

Cost £


Jun 2008 July 2008 Sept 2008 Mar 2009 1,400,000

01,400,000


Aug 08 Sept 08 Nov 08 May 09 1,338,000

01,338,000


2 months 2 months 2 months 2 months 62,000

062,000

Contractor McKean and Company (Glasgow) Ltd What is this project? The construction of a new surface water outfall down Kilbride Road to alleviate the current flooding problems in the Kilbride area of Dunoon. How is this Project Funded? Now fully funded from Council’s Capital Budget following introduction of block grant system and removal of 80% cash grant. Why is this project classified as red? Anticipated under spend in 10-11. What has caused the issue outlined above? The final project cost has come in lower than budget. What action will be taken to rectify this issue? None What are the implications of the action proposed? Reduction in expenditure overall leaving a balance to be allocated to Roads Reconstruction within 2011/12 by use of virement and as identified within proposed Asset Sustainability Capital programme to address Red Risks.

Project Name – Tayinloan ferry berth improvements First Added to Capital Plan – 2008/9 Project Manger: Martin Gorringe Tender

Issue Tender Return

Works Start

Works Complete

Cost £


Jan 2010 Feb 2010 March 2010

October 2010 2,650,000

02,650,000


Dec 10 Jan 10 March 2011

Sept 11 2,650,000

500,0002,150,000


11 months

11 months 11 months 11 months

0

-500,000500,000

Contractor Not appointed What is this project? The construction of an extended breakwater, a suspended slab access-way and a sand bypass. How is this Project Funded? Funded from Council’s Capital Budget and an award has been made from the ERDF valued at £500,000. Why is this project classified as red? Delay in project associated with inability to secure required land permissions from key landowners. There will be no capital expenditure this financial year. The project has been awarded £500,000 of ERDF funding. What has caused the issue outlined above? Inability to obtain land permissions has delayed the project by 3 months. The ERDF funding was unbudgeted. What action will be taken to rectify this issue? Estates are actively seeking to resolve land permissions with key landowners – to achieve a reasonable agreement. Should a reasonable resolution not be achieved with landowners (who will be benefited by the proposed works) by the end of January 2011, scope exists to amend/reduce the scope of works to ensure that jetty works are completed but which will reduce benefit to landowners who have not given permission. Any saving in budget when works are procured will be vired to other projects within the Roads Reconstruction Programme. What are the implications of the action proposed? None.

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