Greater
Board
Meeting
August 2004
Board Paper No. 04/51
Chief Executive – Primary Care
Division
UPDATE ON KIRKINTILLOCH’S INITIATIVE
PARTNERSHIP AGREEMENT WITH
Recommendation:
Members
are asked to:
Reaffirm the Board’s commitment to
the partnership between East Dunbartonshire Council and Greater Glasgow NHS
Board, as enshrined in the Kirkintilloch’s Initiative Partnership
Agreement.
1.
Introduction
1.1
At its meeting on
1.2
During the course of the last 3
years, the Partnership has progressed many key issues, such as securing planning
consents for a number of key projects.
The partners have developed the project plans and proposals within the
context of East Dunbartonshire Council’s Local Plan framework. The Draft Local
Plan which updated the extant Local Plan necessitated a review of the
Initiative’s proposals. This review
has, in turn, resulted in a number of changes to the Partnership
Agreement.
1.3
The purpose of this paper is to
describe the principle terms of the original agreement and explain the changes
which are now proposed.
2.
Background
2.1
In 1994, the then
Secretary of State agreed to the closure of
2.2 A masterplan and outline planning application were
subsequently submitted by the consortium to East Dunbartonshire Council. The Council was was unwilling to give planning permission
on the basis that such a development would require a significant improvement in
road access. The provision of a new
link road between Kirkintilloch and the M80 was identified as a necessary
precondition to planning permission being granted for the consortium’s
proposals. This produced a
situation of impasse, halting the process of disposal of the Woodilee
site.
2.3 The Trust’s
need to unlock the development potential of the Woodilee site together with the
Council’s need to address the regeneration of Kirkintilloch by improving road
access led both parties to come together to explore the potential for an
alternative joint approach. As a
result, a partnership agreement was entered into, approved by the NHS Board and
the Scottish Executive which sought to achieve the objectives of both
parties. These
were:
1)
2)
NHS – the
release of capital receipts for the reprovision of acute in-patient hospital
facilities within the Greater Glasgow area. The reprovision of primary care and
mental health services within an integrated care centre in
Kirkintilloch.
3.
Progress To
Date
3.1 Since December
2001, the partnership has completed a number of milestones which were necessary
foundations for the delivery of the project programme. Significant amongst these have been
planning consents for a number of key projects (Kirkintilloch Link Road, Leisure
facility and the Arts and Culture Centre) and submissions to the East
Dunbartonshire Council’s Local Plan Inquiry.
3.2
The Local Plan
Inquiry, chaired by a Reporter appointed by the Scottish Executive, examined
East Dunbartonshire Council’s Draft Local Plan which included a review of the Ki
proposals. The Reporter’s
Recommendations which followed the Inquiry, had an impact on the ability to
deliver the Initiative’s proposals.
The key implications
were:
a.
The original plan
to develop a supermarket on
b.
Increased
flexibility in the number of units possible at Woodilee. Formerly there was a limit of 800
units. This allows for the
potential to achieve increased receipts from the site.
c.
The possibility of
an early release of land for development at Woodilee on the basis that the
d.
The planned
development on the Town hall site in the centre of Kirkintilloch of the
Integrated Health Care Centre was not recommended and that an alternative site
should be found. This was something
Ki was already investigating and the plans envisage the development on the
existing Townhead Clinic site.
This has resulted in the need to update the Partnership
Agreement, albeit, this is to reflect mainly financial changes rather than
principles on which the Agreement was based.
3.3 In light of
the above, the budget has been recast to take account of the changed
circumstances, including current land values, project costs and the Council’s
commitment to contribute their Capital Funds. This has been approved by the
Partnership Board which confirmed that the revised budget can deliver both the
objectives and project plan originally proposed to both the Council and the
NHS. The Draft Revised Partnership
Agreement includes the realigned budget and the necessary changes to reflect how
the funding mechanisms will operate.
4.
Key Points within
the Draft Revised Partnership
Agreement
4.1
An analysis of the receipts can be
found at Appendix 2 and shows a receipt profile of £56.3M.
4.2
The
release of funds which the NHS is entitled to receive as a first call on the
disposal proceeds from the sale of its surplus landholdings, after providing for
an agreed contribution to the cost of the Kirkintilloch Link Road (KLR) has
increased from £10M to £17M. This
has arisen due to a revised estimate of land values and detailed work on the
estimate of on and off-site infrastructure, abnormal ground condition and
planning agreement costs. This
results in the balance of the £34M (£17M) being applied to the Initiative
projects, including the KLR and the Integrated Health Care
Centre
4.3
Consistent with
the extant Agreement, a flexibility remains in relation to the budgeted
receipts. For each individual receipt where proceeds exceed budget by 10%, the
10% will be retained within the Initiative
4.4
In the event that
the receipt generated is in excess of 110%, then the party generating that
receipt shall retain for its sole use additional receipts up to £10M. Thereafter, if further receipts are
generated the parties have bound themselves to consider if there are any
projects which require to be funded in part or whole. However, there is no obligation on
either party, at this stage to release additional monies.
4.5
As each net
receipt is released from Woodilee, the NHS is entitled to 50% share.
4.6
East
Dunbartonshire Council has agreed to contribute £4.8M from its Capital Budget to
be applied to the Initiative. This
particular funding will be applied to the Leisure Facility
project.
4.7
One of the
projects incorporated within the Kirkintilloch Initiative is the provision of an
Integrated Care Centre involving the collocation of existing Primary Care and
Mental Health services in the Kirkintilloch area, with some Social Work and GP
services.
4.8
The surplus NHS
property will remain in NHS ownership until it is disposed of. Disposal will be in accordance with the
NHS Property Transactions Handbook.
4.9
The application
of capital receipts released from the disposal of NHS landholdings identified
within the proposed Agreement remains subject to the NHS obtaining approval from
the Scottish Executive through the preparation and submission of appropriate
business cases(s). Accordingly,
business cases will be submitted to release receipts during the next 3 year
period.
5.
Conclusion
5.1
The Scottish
Executive have already approved the original Partnership Agreement, and assuming
NHS Board and East Dunbartonshire Council approvals, the intention is to submit
the Revised Partnership Agreement to the Executive for affirmation of their
approval to the principles of the Partnership
Agreement.
APPENDIX
ONE
PROJECT
PROFILE
1.
The
11.3m15m.
2.
Leisure Centre
including a swimming pool
The Leisure
Centre will provide public leisure facilities open to all residents of
2.m5.0m
3.
Integrated
Integrated Health Care Centre (to include as a minimum
facilities for reprovision of health services currently provided at Townhead
Clinic and the Larkfield Centre)
The Integrated
Health Care Centre will provide a building where health and social work staff
can provide an integrated customer focussed service in areas where the input of
staff from both the Council and the Health Board are commonly required by the
customer. The Centre will make
provision for delivering those health care services which are currently
delivered at Townhead Clinic and at the Larkfield Resource Centre. General practitioners will also be
encouraged to take up space in the Centre.
Budgeted cost £4.4m 6.5m. This has to be funded equally by the
and the
Council from the sale of Dedicated Land or by PPP.
4.
New/refurbished community hall/performance
spaceArts and Culture Centre
The activities
currently taking place at the upgraded facilities either by
refurbishment of the existing Town Hall or by provision of a new location. The main requirement of the
new space is to provide a performance space capable of hosting events such as
the annual pantomime, art exhibition, large public meetings, etc. In addition, provision will be made for
meetings rooms for community groups.
The development of the Southbank site town centre
sites requires the access strategy to be reviewed. This exercise will seek to ensure that
access to the Arts and Culture Centre town
centre by both public and private transport is commensurate
with the location and function of the facility at least as
convenient as the existing situation.
It will also ensure that sufficient car parking spaces are
made available to service the customer needs of town centre businesses. Budgeted cost £4.5m 2.4m.
5.
Financial support
required to make deliverable a mixed use development in the Southbank area of
Kirkintilloch including improvements to the area’s access arrangements
Separately from
Kirkintilloch’s Initiative the Council is facilitating an agreement between
landowners at Southbank to bring forward development which will include a canal
basin and facilities which encourage and accommodate canal related leisure
activities. Any agreement which
emerges will require financial support to make it effective. Budgeted cost £2.1m 2m.
6.
Countryside
Access Network including provision of a
The Countryside
Access Network is a series of leisure destinations in the Kirkintilloch and
Lenzie area linked by continuous standard footpaths and cycle tracks. The Network will be signed and
interpreted to encourage public use and increased access to the countryside in
the Kirkintilloch and Lenzie area.
The destinations will include The Woodilee Country Park (which is to
created as part of the residential development on the site of the former
1.5m.
7.
Financial support
for the provision of low cost rented accommodationaffordable
housing within the land sold for residential development
The Council is
committed to encouraging the provision of low cost rented accommodation within
new residential developments in its area.
It is known that land with planning consent for residential development
sold for this purpose attracts a lower price than land sold without this
restriction on use. Provision is
therefore to be made within the financial arrangements for Kirkintilloch’s
Initiative to allow some land to be sold for the specific purpose of providing
low cost rented accommodation.
Budgeted cost £2.5m 1.5m
8.
Financial support
for training and access to jobs initiative
In co-operation
with the Further Education sector Kirkintilloch’s Initiative will fund the
creation of a training programme with the purpose of helping those without jobs
and those with lower skilled jobs to gain access to a wider jobs market
including those jobs which are expected to be created by the implementation of
Kirkintilloch’s Initiative.
Budgeted cost £1m.
6.Accommodation
for Independent Living
The Council
is working in partnership with National Children’s Homes (NCH) towards provision
of supervised accommodation for young homeless people. Provision is to be made for land and a
financial contribution towards the cost of this facility. Budgeted cost
£400k.
9.
It is proposed to
locate a visitor attraction adjacent to the canal comprising a canal museum and
associated catering facilities.
Budgeted cost £150,000 100k.
10.
Town Centre
Access
The
Partnership acknowledges the importance of Kirkintilloch’s Town Centre to the
local community and economy and is committed to improving access to is. This project will seek to improve the
existing car park within the town and address issues such as
traffic flows and public transport access. Budgeted cost
£1.8m
11.
NHS
Allocation
The Greater Glasgow NHS
Board shall receive a receipt from the sale of land in the
ownership of the NHS for the sole purpose of reinvesting in the NHS health
economy. Budgeted receipt
£17m
10.
Management
Costs
In order that
the Project is delivered and the regeneration programme timetable is
achieved, a funded management structure will be required. Budgeted cost
£900,000
APPENDIX
TWO
RECEIPT
PROFILE
Car Park at
Luggiebank
land and Buildings
£350,000 (East Dunbartonshire Council)
Industry
£0.7m
Leisure –
Barleybank £nil
Housing Waverly
Park
£350,000 (NHS)0.45m
Ransom Strip
£350,000 (NHS)0.7m
Roadside Services
£1.5m (East Dunbartonshire Council)
Canal museum
tearoom
£150k (East Dunbartonshire
Council)
Housing –
Woodilee
£34m (NHS)
20.m
Woodhead Park
Leisure site
£200,000 (East Dunbartonshire
Council)
Southbank
basin land
£100,000 (East Dunbartonshire
Council)
Southbank
Arts & Culture site
£900,000 (East Dunbartonshire Council)
McGavigans field
Housing
£4.5m (East Dunbartonshire Council)1.5m
Supermarket
Deposit
£50,000 (East Dunbartonshire
Council)
Townhead
Clinic site
£500,000 (NHS)
Woodhead
House site
£1.5m (East Dunbartonshire
Council)
Grant
£1.8m (East Dunbartonshire Council)2m
Additional
land Value
£2m (Joint)