Post by Sherford on Oct 8, 2008 15:46:16 GMT
www.thisisplymouth.co.uk/news/Credit-crunch-hit-traffic-plans/article-381878-detail/article.html
Credit crunch 'won't derail traffic plans'
Tuesday, October 07, 2008, 18:45
COUNCILLORS have raised concerns the credit crunch could impact on major traffic plans for the east of Plymouth.
Members of the city council this week quizzed project leaders on whether the economic climate could lead to a "lesser" public transport system for the so-called Eastern Corridor.
However, project managers sought to assure the council's Sustainable Communities Overview and Scrutiny Panel they are confident the £100million scheme is due to proceed as planned.
The proposed system will serve the 5,500-home Sherford new town and the 1,600-home Plymstock Quarry site.
Councillor Tudor Evans, the city council's Labour group leader, said: "I've got a troubling feeling that certain developers are using the current financial climate for back sliding.
"We seem to be proceeding on the assumption that nothing's changed over the past few months."
Lee Smith, interim Eastern Corridor project manager, said the team has developed a "lower cost alternative" for the scheme in the event the full amount of money from developers does not come through.
The alternative scheme would involve around a 20 per cent reduction in costs.
Mr Smith added that all major projects have to produce such an option according to Government guidance.
He said: "In terms of what we are working to, we are working to the major scheme.
"The guidance says we must develop a lower-cost option. It's purely part of the bidding process."
A detailed funding bid is due to be submitted to central Government in June or July next year.
The Department for Transport is expected to pick up most of the estimated £100million cost, with the rest coming from developers and Plymouth City Council.
Mr Smith said the project team is currently in negotiations with Sherford developers Red Tree over their schedule of payments.
He said: "There's every confidence the agreement will be concluded with the money in place. Red Tree had accepted the principle of payments in place. The issue now is the payment mechanism of the 106 agreement.
"The debate is about how it's paid rather than the principle of whether it's paid."
Cllr Evans asked to see a full report of negotiations with developers – and the "lesser scheme" – at the next scrutiny panel meeting, scheduled for November 17.
Cllr Jean Nelder added: "This project is a huge jigsaw and one of the pieces of it is what's happening with the 106 agreement."
Credit crunch 'won't derail traffic plans'
Tuesday, October 07, 2008, 18:45
COUNCILLORS have raised concerns the credit crunch could impact on major traffic plans for the east of Plymouth.
Members of the city council this week quizzed project leaders on whether the economic climate could lead to a "lesser" public transport system for the so-called Eastern Corridor.
However, project managers sought to assure the council's Sustainable Communities Overview and Scrutiny Panel they are confident the £100million scheme is due to proceed as planned.
The proposed system will serve the 5,500-home Sherford new town and the 1,600-home Plymstock Quarry site.
Councillor Tudor Evans, the city council's Labour group leader, said: "I've got a troubling feeling that certain developers are using the current financial climate for back sliding.
"We seem to be proceeding on the assumption that nothing's changed over the past few months."
Lee Smith, interim Eastern Corridor project manager, said the team has developed a "lower cost alternative" for the scheme in the event the full amount of money from developers does not come through.
The alternative scheme would involve around a 20 per cent reduction in costs.
Mr Smith added that all major projects have to produce such an option according to Government guidance.
He said: "In terms of what we are working to, we are working to the major scheme.
"The guidance says we must develop a lower-cost option. It's purely part of the bidding process."
A detailed funding bid is due to be submitted to central Government in June or July next year.
The Department for Transport is expected to pick up most of the estimated £100million cost, with the rest coming from developers and Plymouth City Council.
Mr Smith said the project team is currently in negotiations with Sherford developers Red Tree over their schedule of payments.
He said: "There's every confidence the agreement will be concluded with the money in place. Red Tree had accepted the principle of payments in place. The issue now is the payment mechanism of the 106 agreement.
"The debate is about how it's paid rather than the principle of whether it's paid."
Cllr Evans asked to see a full report of negotiations with developers – and the "lesser scheme" – at the next scrutiny panel meeting, scheduled for November 17.
Cllr Jean Nelder added: "This project is a huge jigsaw and one of the pieces of it is what's happening with the 106 agreement."