highways pfi outline business case – december 2009
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8/7/2019 Highways PFI Outline Business Case December 2009
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Copyright Isle of Wight Council 2009
Copyright Notice
The material contained within this document is subject to the protection of
copyright law. All rights in this document or any part of it are reserved. Any
unauthorised copying, duplication, reproduction, sale or hire, or distribution of
this document shall constitute an infringement of copyright. Any infringement of
the copyright will result in civil or criminal action.
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Index
1. Executive Summary
1.1 Introduction
1.2 Background
1.3 Strategic Context
1.4 The Need
1.5 Scope
1.6 Benefits
1.7 Achieving Value for Money
1.8 Affordability1.9 Programme Delivery
1.10 Member and Stakeholder Support
1.11 Conclusion
2. Strategic Case
2.1 Introduction
2.2 Pathfinder Project
2.3 Local Background2.4 Strategic Policy Context
2.5 National Policy Context
2.6 Regional Policy Context
2.7 Local Community Strategy Eco Island
2.8 The Isle of Wight Economic Strategy
2.9 Isle of Wight Council Corporate Plan One Island
2.10 The Island Plan
2.11 Local Transport Plan 2006 2011 (LTP2)
2.12 Area of Outstanding Natural Beauty (AONB) Management
Plan
2.13 Historic Built Environment
2.13.1 Public Realm
2.13.2 Archaeological Heritage
2.13.3 Natural Environment Species and Habitats
2.13.4 Historic Environment Action Plan (HEAP)
2.14 Transport Asset Management Plan
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2.15 The Network
2.15.1 Asset Inventory, Condition and Survey Data
2.15.2 Road Pavement Condition
2.15.3 Street Lighting
2.15.4 Traffic Signals
2.15.5 CCTV
2.16 Current Service Delivery and Performance
2.16.1 Current spend on Island Roads and Bridges
2.17 Drivers for Change
2.17.1 The Service Gap
2.17.2 Carriageways
2.17.3 Footways
2.17.4 Bridges and Other Structures on the Highway
Network.
2.17.5 Street Lighting
2.17.6 Traffic Signals
2.17.7 CCTV
2.17.8 Drainage
2.17.9 On and Off Street Car Parking
2.17.10 Major Works Bouldnor Road
2.18 Project Description/Overview
2.19 Project Scope
2.19.1 Roads
2.19.2 Structures
2.19.3 Street Furniture
2.19.4 Footways
2.19.5 Traffic Signals
2.19.6 Street LIghting2.19.7 CCTV
2.19.8 Grass Cutting and Street Cleansing
2.19.9 On and Off Street Car Parking
2.19.12 Bouldnor Road Improvement
2.20 Standards of the Project
2.20.1 Core Investment Period
2.20.2 Post CIP
2.21 Conclusion
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3. Economic Case
3.1 Introduction
3.2 Options Appraisal
3.3 Service Improvements and Community Benefits
3.3.1 Time savings from higher traffic speeds
3.3.2 Changes in travel times
3.3.3 Vehicle operating cost savings
3.3.4 Reduction in the number of accidents
3.3.5 Reduction in the Councils public liability payments
3.3.6 Reduction in accidents and street crime
3.3.7 Time savings from the removal of weight and width
Restrictions
3.3.8 Efficiency gains
3.4 Value for Money Assessment (TQAT)
3.5 NATA
3.6 Assessment of Funding
3.7 Preferred Investment/Service Delivery Option
3.8 Conclusion
4. Commercial Case
4.1 Introduction
4.2 Procurement Appraisal for PFI
4.3 Procurement Process
4.4 Competitive Dialogue (CD)
4.4.1 Evaluation Criteria
4.5 Output Specification
4.5.1 Performance Requirements
4.6 Project Agreement4.7 Payment Mechanism
4.8 Derogations from SOPC4
4.9 Commercial Issues
4.9.1 Wharf Facilities
4.9.2 Isle of Wight Mineral Background
4.9.3 IWC Property Considerations
4.10 Market Soundings/Market Interest
4.11 Project Data
4.12 Encouragement of Competition
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4.13 Bankability
4.14 TUPE
4.15 Insurance
4.15.1 Current Insurance Arrangements
4.15.2 Insurance Arrangements under PFI
4.16 Conclusion
5. Financial Case
5.1 Introduction
5.2 PSC Base Costs
5.2.1 Core Investment Period (CIP)
5.2.2 Lifecycle, Operations and Maintenance Costs
5.3 Shadow Bid Model
5.3.1 Shadow Bid Costs
5.4 Affordability
5.4.1 Budgetary Contribution
5.4.2 Cash flows from PFI Credits
5.4.3 Interest on cash balances
5.5 PFI Credits and Calculation Methodology
5.5.1 Gap Funding
5.5.2 Revenue Abatement
5.5.3 PFI Credit Requirement
5.5.4 Sensitivities
5.6 Preferred bidder debt funding competitions
5.7 Value for Money
5.7.1 Pre and Post Optimum Bias
5.7.2 Quantitative & Qualitative Assessment
5.8 Initial View on Accounting Treatment5.9 Financial Case Summary
6. Management Case
6.1 Introduction
6.2 Project Management & Project Governance Structure (Pre
& Post OBC)
6.2.1 Project Team Structure to OBC
6.2.2 Project Team Structure Post OBC
6.2.3 Contract Management Team Post contract award
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6.3 Expert External Advisors
6.4 Meetings
6.4.1 Internal
6.4.2 External
6.5 Project Delivery Plan and Timetable
6.6 Operational phase and contract monitoring
6.7 Project Interface and Dependencies
6.8 Stakeholder Consultations and Communications Strategy
6.8.1 Local Residents
6.8.2 Network Users
6.8.3 All Council staff
6.8.4 Statutory Undertakers
6.8.5 Local Suppliers
6.9 Sponsorship and Support
6.10 Risk Management
6.10.1 Risk Escalation
6.10.2 Current Risk Status
6.11 Data Management
6.12 Gateway Reviews/Independent Scrutiny
6.12.1 Gateway Reviews
6.12.2 Independent Scrutiny
6.13 Statutory Processes
6.14 Readiness to Proceed to Procurement
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AppendixNumber Appendix Name
1 Cabinet Report
2 Cabinet Minutes
3Letter of Support from SouthamptonUniversity
4 Inventory and Condition Data
5 Technical Modelling Process
6 Core, Non-Core and Retained Services
7 Justification of Scope Change from the EoI
8 Justification of Bouldnor Road
9 Traffic Modelling
10 Justification of CIP Duration
11 Non-Financial Options Appraisal12 NATA
13 Time Savings and Network Improvements
14 Estimated Costs of Required Work
15 Draft OJEU Contract Notice
16 Project Plan
17 Key Aspects of the Output Specification
18 Derogations from SOPC4
19 Prior Information Notice (PIN)
20 Letters of Support from Soft Market Testing
21 A Basic Guide to TUPE22 Admitted Body Status
23 Pension Rights
24 Shadow Bid Model
25 Annuity Based Affordability Model
26 Qualitative and Quantitative Assessment
27 Monte Carlo Results
28 Letters of Support from External Advisors
29 Communications Strategy
30 Letter of Support from Unison
31 Procurement Cost Breakdown
32 Risk Management Strategy
33 Risk Register
34 Gateway Review Report
35 Industry Day Report
36 Member Review Board Terms of Reference
37 Soft Market Testing Update
38 Section 151 Officer Letter
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OBC Outline Business CaseOJEU Official Journal of the European UnionPB Project BoardPFI Private Finance InitiativePI Principle Inspections
PIN Prior Information NoticePMS Pavement Management SystemPQQ Pre Qualification QuestionnairePUK Partnerships UKPRA Parapet Risk AssessmentPS Performance StandardsPSC Public Sector ComparatorRCI Road Condition IndicatorRoW Rights of WayRPIX Retail Prices Excluding Mortgage
PaymentsRSS Regional Spatial StrategySAC Special Areas of ConservationSCRIM Sideways-force Coefficient Routine
Investigation MachineSEEDA South East England Development
AgencySINC Sites of Importance to Nature
ConservationSMT Stakeholder Management ToolSoPC4 Standardisation of PFI Contracts
Version 4SPA Special Protection Areas
SPV Special Purpose VehicleSRB Single Regeneration BudgetSRO Senior Responsible OwnerSSSI Sites of Special Scientific InterestTA Technical AdvisorTAMP Transport Asset Management PlanTQAT Treasury Quantitative Assessment ToolTRIP The Road Information ProgrammeTUPE Transfer of Undertakings (Protection of
Employment) RegulationsUC Unitary Charge
UKPMS United Kingdom Pavement ManagementSystemUTC Urban Traffic ControlVFM Value for Money
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Foreword
It is with great pleasure and expectation that we endorse this Outline Business
Case. The condition of Island roads and the need to improve them is regularly
highlighted by residents as an issue of great, if not most, importance to them. That
in itself is reason enough to be progressing the Highways PFI. However, what is so
exciting about the Project is that it is a catalyst for much more far-reaching benefits
to the Island, its economy, its environment and for the opportunities we offer
residents.
This document sets out how we plan to maximise these opportunities through what
is the most comprehensive project of this scaleever undertaken on the Island.
Throughout its drafting, our PFI team has sought to identify and maximise every
possibility this huge investment to our community will bring. The Council sees the
PFI as a key project around which Council policy will be interwoven for years to
come. The Project will in some way touch the lives of all residents the challenge
for us is to ensure it does so in ways that will benefit them most. That is why we
have placed such emphasis on complementing the aims of our Eco Island agenda,
on why we believe training and education is an integral part of the PFI and why we
believe the maximum economic benefit should be accrued from every single pennyof investment the PFI will bring to our Island.
Our challenge is to be fully inclusive - to ensure that the whole community not only
understands the implications of the PFI but also wants to engage with the Project,
understand its possibilities and enjoy a dividend from it. We should not lose sight of
the fact that the Project will help define our economic prospects for many years to
come. We must remember that those who perhaps stand to gain most from the
Project are the next generation, such is the longevity of opportunity, and such is the
scope of possibility. While we as Leader and Chief Executive put our names to this
document, we hope that our aspirations will be shared by the whole community.
Councillor David Pugh Steve Beynon
Leader of the Council Chief Executive
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1. Executive Summary
1.1 IntroductionThe Isle of Wight Council has developed a holistic approach to delivering the
Highways PFI, seeking to bring all relevant aspects of highways services within
the single delivery PFI mechanism. The Highways PFI will upgrade the Islands
adopted highway network between fence to fence along with associated assets
and streetscene and will maintain and operate that network throughout the life of
the Project. The PFI Project will raise the standard of the highway, offer a better
service, improve safety and enhance the street appearance.
1.2 Background
The Department for Transport (DfT) selected the Isle of Wight Council (IWC) as
one of three pathfinder Highways PFI Projects in March 2008. The Islands
highway network has suffered from years of under investment and is badly in
need of significant investment to bring it to an acceptable standard. Without such
major investment, restrictions of the network will continue to grow to a point that
the highway network will not be operated in a safe manner. The approval of the
IWCs Expression of Interest has therefore given the Council the impetus needed
to rehabilitate and operate a safe highway network.
1.3 Strategic Context
The Councils and its partners vision is to make the Island a world renowned Eco
Island with a thriving economy and a real sense of pride where residents and
visitors enjoy healthy lives, feel safe and are treated with respect. The Island,
despite being part of the more prosperous South East region suffers from lowproductivity, low wages and low skill levels. We are determined to improve the job
opportunities and create a sustainable economy whilst we address our failing
transport infrastructure. The Highways PFI has been developed to align itself with
the national, regional and local strategic objectives by placing sustainable
development at the heart of the Islands regeneration plans. The Project, in
addition to offering a higher standard of highway services, will help to create a
significant stimulus to the local economy, offering an opportunity to regenerate
parts of the Island and create highway maintenance related industry on the
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Innovation and Growth Network to develop the local industries to become ready
for delivering the works at sub contractor level. The Council is also developing its
strategy to work with local schools, Isle of Wight College and universities to build
the Islands skills base to ensure there is enough capability and capacity to
support the Highways PFI over the 25 year period. This Council believes
developing the local industry and educational base can help to regenerate the
Island and retain a very high proportion of the PFI investment within the Island,
producing a multiplier growth effect for the local economy.
1.7 Achieving Value for Money
The Councils holistic approach to delivering highway related services will help to
achieve significant synergies and scale benefits. In addition, the Council will be
using carbon footprint as a criteria to better utilise the Islands mineral resources,
encourage efficient use of energy, promote the use of local labour, all of which
will have a significant impact on reducing the cost base. The Isle of Wight is
determined to produce a highway refurbishment solution that addresses some of
the major structural issues of the infrastructure but beyond that, it has taken a
pragmatic approach to raise the average condition by classification of road
usage. At the lowest level of usage, the level of upgrade is kept to a minimum to
deliver a less invasive treatment, appropriate for the Isle of Wight trafficconditions.
The Council has demonstrated, using the DfTs New Approach to Appraisal
(NATA), that the project delivers sound economic benefit. In addition, there are a
number of non-quantifiable, qualitative benefits which have been captured in the
appraisal. The Council has developed a shadow bid model in line with the HM
Treasury methodology and compared it with the Public Sector Comparator to
demonstrate that this Project delivers value for money.
1.8 Affordability
The Council has built up a robust inventory of all its assets and a comprehensive
database of asset condition. Using this, it has built a Cost Model which provided
the basis for the PFI Shadow Bid Model. The Council has taken the opportunity to
model the current financial market uncertainty and taken the worst market
conditions at the beginning of this year to calculate the PFI Credit requirements.
On the basis of this conservative estimate, the Council is seeking a PFI Credit of
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364.6 million. The Council has increased its contribution from previously
allocated budgets to 9.02 millions per annum including client side management
cots to deliver this Project.
1.9 Programme Delivery
The Council has put in place a robust governance structure, a dedicated
Programme Delivery Team led by a very experienced Programme Director,
supported by in-house professional engineers, accountants, procurement
specialists and lawyers to bring together the necessary local highway background
and experience. Supporting the in-house team is a strong group of external
advisors, who bring a wealth of PFI experience. The Council has paid particular
attention to building a single integrated project team, setting up a dedicated
office where advisors and the Council officers work in a single team.
The Programme Director has developed a deliverable programme and has
estimated the need for a procurement stage budget of 7.6million. The Council
has formally approved this programme and budget and has made a strong
commitment to making other shared corporate resources available. The Council
is increasing the full-time capacity of the in-house PFI Team, post OBC
submission to enter the procurement phase. The Council has further developedthe Contract Management structure post financial close. The post-OBC structure
will provide the foundation for building capability for the longer term Contract
Management team. Those who are involved in the competitive dialogue phase
will gain considerable insight into contract negotiations and the final contractual
terms agreed with the Service Provider.
The Council has built an excellent inventory and condition database and this will
be made available as part of the data room to bidders. This information is in GISformat and a video of the full network is also available. The Council now has a
very high degree of confidence in its data. The condition assessment surveys will
now be repeated annually to maintain the robustness of the data.
With the combination of a strong governance framework, adequate resourcing,
experienced project leadership, deliverable time scales and an excellent asset
base, the Council now has all ingredients for successful Project delivery.
Moreover, it has a high degree of confidence in delivering a Project with an
appropriate commercial package suitable for the Isle of Wight conditions.
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1.10 Member and Stakeholder Support
The Highways PFI Project has strong all party support. The Project was initially
developed under Island First (a Liberal Democrat/Independent administration)
and has continued to progress under the Conservative administration. The
Project plays a vital role in supporting all party aims of creating sustainable
employment on the Island.
The Council cabinet approved the Outline Business Case on 11 August 2009.
The accompanying report and the minutes of the meeting are in Appendix 1 and
Appendix 2 respectively. Members have delegated appropriate authority to the
Project Board and the Project Sponsor to make all procurement decisions
following the approval of the OBC until the Preferred Bidder selection and
appointment.
The Project has wide support among the Islands stakeholders, businesses,
community groups and partners who are aware of the significant social, economic
and regeneration benefits the Project will bring to the Island. The Council staff
who are likely to be affected by the Project are regularly briefed and the Highway
PFI Projects own intranet site provides regular updates.
1.11 Conclusion
The Council values and protects the pathfinder status it gained following the
successful submission of the Expression of Interest. It has now developed the
Project taking a practical and pragmatic approach to developing an attractive but
challenging package for the market, in a sensible timescale backed up by a
strong delivery team. The ethos of this team is partnership working and that
spirit will continue, even through the dialogue period, with the ultimate aim of
delivering a win-win approach to this Project. The Council is now ready to
embark on the procurement stage of the Project, following approval of this
Outline Business Case.
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2. Strategic Case
2.1 Introduction
The Isle of Wight Council and its strategic partners have grasped the opportunity
to address some of the major challenges that are fundamental for the
regeneration of the Island. The Council is leading the way by implementing both
challenging internal reform and modernisation, and external service reforms in
the education and highways maintenance sectors. These reforms are driven by
the Islands strategy, the Eco Island Vision 2008-2020, for a sustainable
community that thrives amidst the natural beauty and surroundings.
The Highways PFI forms an integral part of the strategic reform to increase thecapability and capacity of the Island and improve its attractiveness for inward
investment. The Highways PFI is seen as the significant catalyst not just for
improving the condition of the highway network, but also to create a road
construction and maintenance industry and its supply chain, using local natural
and physical resources. The Council and its Strategic Partners are working
towards an economic regeneration programme, underpinned by the Eco Island
vision, to derive significant economic benefits, for example through a multiplier
effect from the Highways PFI investment over the 25 year life of the project.
External Drivers for change stem from National, Regional and Local Policy.
These in turn relate to National Planning Policy Guidance, the special policies in
the South East Plan relating to the Isle of Wight, which underpins the Isle of
Wight Community Strategy, the Isle of Wight Economic Strategy, and AONB
Management Plan formulated and agreed with local partner organisations. Within
this context Internal Drivers are identified from the strategies and policies
developed by and within the Isle of Wight Council, including the Isle of Wight
Development Plan and Local Transport Plan.
The Council has a clear vision for the Highways PFI which is:
To create an efficient highway network and public realm, providing
sustainable, high quality, value for money service to residents and visitors,
whilst acting as a catalyst for social and economic regeneration of the
Island.
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Based on this vision, the Council has set the following Project Objectives:
To ensure the provision of a high standard, fit for purpose highway
network to meet the needs and aspirations of residents, business and
visitors for the movement of goods and people.
To promote sustainable transport options and initiatives by ensuring the
availability and maintenance of the whole physical highway and
appropriate traffic management.
To provide a comprehensive and seamless service for all parts of the
highway, fence to fence, both in built up areas and the countryside with
appropriate standards and use of materials to reflect local
distinctiveness and character.
To create a safe highway environment within the context of a well
managed public realm/whole street scene
To create a highway maintenance industry that acts as a stimulus for
the economy.
The Project will be developed to deliver these objectives by designing an
appropriate contract structure defining the project which can be achieved within
the affordability envelope.
The Isle of Wight Highways PFI is a unique Project. In an Island context,
surrounded by water, there are no overlapping local authority boundaries with
neighbours or trunk road network that come under Highways Agency
responsibility. The highway boundaries, ownership and responsibilities are
therefore clearer in comparison to any other local authority on the mainland. As
one of the three pathfinder schemes, it is also well placed to provide valuable
knowledge, direction and lessons for future tranches of maintenance PFI
programmes. In particular, the Council intends to explore new opportunities,
innovative approaches, and future proofing to introduce advances in technology
during the life of the PFI. It also intends to build a locally based highway industry
with its partners in the education sector, industry and the PFI provider.
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2.2 Pathfinder Project
In technical terms, the highways on the Island are largely rural in nature, in an
area of outstanding natural beauty, with pockets of urban roads surrounding the
local towns. The pathfinder approach taken by the Council will provide a number
of opportunities to learn lessons for the future and share knowledge for the
benefit of the highway industry:
The Council has built up a complete list of its highways inventory and condition.
Using this data, it is building a suit of condition indices using certain key
parameters. The Council is keen to reflect the island conditions in its
deterioration model and to ensure an affordable specification. Similarly it has
developed skid resistance policy and carriageway and footway condition
models. Standards appropriate to the Island needs will also be appropriate to
rural and semi rural communities elsewhere in the UK.
The Council will record progress and key issues faced at each of the key stages
and to share solutions developed with DfT and the other pathfinder authorities.
The Council is setting in place the foundation for a collaborative framework with
schools, Isle of Wight College, University of Southampton, other local
universities and other educational institutions to build the technical capability
and capacity needed to create an Island based Highways MaintenanceIndustry. A supporting letter from University of Southampton is attached at
Appendix 3. The Island is in a unique position to use the investment on the
roads over the 25 years project period to regenerate the local economy
through planned, strategic investment in the educational sector.
The Council intends to seek proposals from bidders for setting up training and
apprenticeship schemes in association with the educational sector.
The Council aims to create an economic regeneration climate that delivers
visible improvements across the Island and for Islanders and which acts as the
trigger for major regeneration. The economic regeneration benefit of
investment in transport projects is usually very difficult to measure, but the
Island context offers an ideal contained market place to measure investment
and economic growth.
The Council is keen to work with other local authorities, universities, research
organisations and international highway authorities to share the benefits of the
experience gained from the PFI model maintenance procurement.
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2.3 Local Background
The Isle of Wight, a diamond shaped island, separated from the UK mainland by
the sinking of the Ancient River Solent during the Bronze Age to become an
island in its own right. The Island, separated from the south coast by the Solent,
measures approximately 13 miles by 23 miles along its diagonals and covers an
area of 38,014 hectares.
The Island has a rich history dating back to the Duke of Warwick, the first King of
the Isle of Wight, to Charles I being held as a prisoner in Carisbrooke Castle, and
Queen Victorias favourite home Osborne House, which still stands proud on the
Island. In 2009 however, the Island is now part of the England and Wales Local
Authority system and has Unitary Authority status.
The Island has a unique and important natural environment, which is protected by
national and local designations. A majority of the Island is rural in character with
isolated farms, hamlets and villages and with over half the area designated as
Areas of Outstanding Natural Beauty, (AONB). Much of the coastline is defined
Heritage Coast and the majority of the coast and some inland areas are
designated for European and/or International nature conservation of wildlife
species and habitats. There is a cluster of five areas designated as the Isle ofWight AONB, 41 Sites of Special Scientific Interest (SSSI), 28 existing and 4
proposed Conservation areas and 34 kms of heritage coast. The Island has over
2000 listed buildings of which 28 are Grade 1, including the historic Osborne
House and Carisbrooke Castle.
Travel to and from the Island is via privately operated and un-subsidised vehicle
and passenger ferry services. The vehicle ferry routes are between Lymington
and Yarmouth in the West, Southampton and East Cowes centrally andPortsmouth and Fishbourne in the East, creating pulses of traffic generation onto
the highway network. High speed passenger boat services are from Southampton
to Cowes, Portsmouth to Ryde and a hovercraft service runs from Southsea to
Ryde.
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The County Town of Newport is centrally located with a primarily radial road
network linking the other main settlement areas such as Cowes, East Cowes,
Ryde, Sandown, Shanklin and Ventnor, distributed around the coast. There is a
coastal road system, linked by the Floating Bridge at Cowes, encircling the Island
which is valued by tourists and Islanders alike. The Island has an integrated
public bus network, but services are not available in some rural areas. Island
Line, part of the Stagecoach South Western Trains franchise, operate the eight
and a half mile of passenger railway serving the towns of Ryde, Brading,
Sandown, Lake and Shanklin. A leisure steam railway operates between Wootton
and Smallbrook.
In the absence of a comprehensive public transport network, the largely rural
community relies heavily on private transport. The 2001 census data showed that
compared to England and Wales, the Islanders have slightly higher car
ownership; some 64,000 cars/vans were recorded in the census, some 0.49
cars/vans per person or 67 per km. In addition, there is the daily influx of
passenger and heavy goods traffic, to meet the day to day needs of the
Islanders.
The Islands 803 km of road network has become the lifeline for the Islanders,
playing a vital role in the social, commercial and recreational life of the
community. However, the conditions of the roads have deteriorated over the
years and many roads are no longer fit for purpose. Currently seven roads have
weight restrictions whilst a large number have width restrictions. The failing road
network is considered to be one of the key factors contributing to a slow down in
the economic regeneration of the Island.
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The 2001 census recorded an Island population of 132,731. The Islands
population distribution is skewed towards the elderly in comparison to national
averages; over 28% of the population were aged 60 years or over, compared with
around 20% for England and Wales; at the other end of the scale, those aged 16
years and under were significantly lower at around 18%. The skewed age
distribution reduces the available pool of economically active citizens, impacting
the economy of the Island.
The public sector is one of the major employers in the Island namely, the Isle of
Wight Council, NHS, the Prison Service and the Police. The Island also supports
a number of specialist niche industries wind turbine research and development,
radar, electronics/communications, yacht/boat building, composite and resins,
pollution control equipment, Royal National Lifeboat Institution inshore lifeboats,
cosmetics and fashion.
The Islands economy is heavily dependent on the tourist industry and during the
summer months the Islands population can double, with total numbers of visitors
reaching about 2.7 million each year. This can also lead to traffic volumes
doubling during the summer months. The majority of the Worlds leading
yachtsmen and women descend on the Island during Cowes week. The Islands
Music Festivals and Walk the Wight are now nationally famous events attracting
many thousands from far a field. The Island is a paradise for walkers, cyclist and
horse riders. It has over 851km of Rights of Ways traversing through some of
most beautiful parts of the Island.
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Whilst the Island sits geographically within the south-east of England it does not
benefit fully from the regions prosperity. The Island has pockets of deprivation
and five wards fall within the 20% most deprived areas in England. The rate of
unemployment has continued to reduce from the historical highs of 10% in the
mid 90s to currently nearer 4% but much of the employment is seasonal, with
high dependency on the tourist industry. Recent economic changes have further
affected locally based industries causing an increase in the claimant count. The
Island has the second lowest average wage in the UK.
The image of an Island full of natural outstanding beauty, buzzing with an influx of
tourists in the summer, sits in stark contrast with the huge need for economic
regeneration, better employment opportunities, and improved standards of living.
Isle of Wight Council works closely with the South East England Development
Agency and stakeholders to support and develop the Islands economy through
regeneration programmes, business critical infrastructure and targeted business
support. The Island's economy is now well placed to continue to grow, particularly
drawing on its environmental assets and strengths in growth sectors such as
renewables, aerospace, composites, tourism and marine related industry and
quality infrastructure/well maintained roads are critical to supporting this.
2.4 Strategic Policy Context
The Councils vision of making the Island a great place to live, work and visit is
being achieved through an integrated series of underlying strategies and policies
consistent with regional and national policies. In this context, the Highways PFI
Project has been developed in line with National and Regional Strategies and is
driven by local strategy and policies as shown in the following diagram.
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2.5 National Policy Context
The Chancellor of the Exchequer, in his pre-budget statement in November 2008
set out the Governments long-term economic goal - to secure and maintain
economic stability, in order to achieve its objective of a fair society where there is
security and opportunity for all. Its aim is to raise the rate of sustainable growth,
and achieve rising long term prosperity and a better quality of life with economic
and employment opportunities for all.
The 2004 Government White Paper The Future of Transport, a network for
2030 sets out the Governments vision for transport up to 2030. It recognises the
need for a transport network that can meet the challenges of a growing economy
and the increasing demand for travel, but a network that also achieves
environmental objectives. This strategy is built around three key pillars sustained investment, improvement in transport management, and planning
ahead. This means coherent transport networks providing a more reliable and
free-flowing service for both personal travel and freight.
The Governments Climate Change Bill introduces a legally binding target to cut
greenhouse gas emissions by at least 80 per cent by 2050, the most ambitious in
the G8, building on plans to deliver a one-third reduction in emissions from 1990
levels by 2020.
Against this back drop of the need for long term economic stability, supporting
increasing demand for travel whilst continuing to reduce greenhouse gas
emission, the Department of Transport announced a Highway Maintenance
Pathfinder Programme.
The Government ten-year Plan, Transport 2010, sets out the Strategy for
modernising the transport network nationally. The Plan sets several strategicobjectives including the elimination of the maintenance backlog on local roads,
bridges and street lighting. In addition, the July 2004 White Paper, The Future of
Transport - a network for 2030, reinforces the strategic importance of the
transport network in promoting sustainable, national and local economic growth
and in enhancing social and environmental well-being.
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2.6 Regional Policy Context
The South East is a major gateway to Europe and beyond and is the most
prosperous region in England. Even though the Island is part of the South East
Region, it does not share proportionately in the wealth of the Region. However,
the Island has a rich history of innovators and entrepreneurs who have made
valuable contributions to the South Eastern and the national economy. Sustained
inward, private, investment relies heavily on appropriate regional and national
strategies to support transport and other infrastructure development.
The Regional Spatial Strategy (RSS) for the South East of England, known as the
South East Plan, published in May 2009, sets out the long term spatial planning
framework for the region over the next 20 years. The Plan is to develop a
healthier region by achieving more sustainable development, protecting the
environment and combating climate change.
A healthier region means working to improve, among others things, the provision
of community transport facilities, sustainable transport links, a feeling of security
and an approach to a sharing the benefits of regeneration. The South East Plan
will deliver these through local policies which, in the case of Isle of Wight, will
focus on maintaining a high quality of life whilst increasing prosperity andopportunities for the Islanders, at the same time nurturing and enhancing the
environmental assets, and promoting the efficient use of resources.
The Regional vision is By 2016 the South East will be a world class region
achieving sustainable prosperity. The Region faces increasing challenges from:
Globalisation increasing competition but an opportunity to build on past
Entrepreneurial culture,
Smarter growth higher levels of prosperity per head without increasingecological footprint,
Sustainable Prosperity innovating to provide economic prosperity within
environmental limits.
Investment in the Isle of Wights Highways PFI is aimed at strengthening the
highways network and transport across the Island to enhance its attractiveness
as a place for investment, thereby contributing to the success of the Region and
the Island. The Island has a relatively low cost base and an eco friendly business
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environment which, with the support of SEEDA, is being revitalised through
economic regeneration. The Highways PFI is the key strand that runs through
this regionally supported regeneration and development.
2.7 Local Community Strategy - Eco Island
The Islands local strategic partnership is known as the Island Strategic
Partnership (ISP); the ISP is made up of leading organisations in the Island
including the Isle of Wight Council, the Health Authority, the Police, Voluntary and
Community Organisations, IW College, the Chamber of Commerce, Business
Community and Government Departments. The Community Strategy Eco Island
sets the vision for the next decade by aiming:
to be a world renowned Eco Island, with a thriving economy and a real
sense of pride, where residents and visitors enjoy healthy lives, feel safe
and are treated with respect
The four main themes that underpin the strategic vision are:
Thriving Island,
Healthy and Supportive Island,
Safe and Well-kept Island, Inspiring Island.
This Island Vision is being delivered through a series of prioritised policy
initiatives and the Highways PFI is one of the vital delivery mechanisms for
achieving this vision.
Through this vision the ISP is committed to protecting and enhancing the Islands
natural beauty; creating wealth and reducing carbon footprint; supporting
economic development and regeneration; reducing crime and fear of crime; and
enhancing how our local area looks and feels. The Highways PFI is being
developed to support each of these areas and is the cornerstone for the final
Project options presented in this OBC. The ISP is now committed to deliver, by
2020, the lowest carbon footprint in England and renewal of infrastructure to the
highest ecological standards.
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2.10 The Island Plan
The Local Development Plan, the Island Plan, is in the final stages of the
statutory approval process, but its Core Strategy is used to set the planning
vision for the Island through to 2026. Building and creating sustainable
communities is central to the Sustainable Community Strategy that is focused on
delivering the Eco Island vision.
The Island sustainable travel plan supports a multi-modal transport strategy. This
relies on the highway network for public and private transport, whilst the Rights of
Way network provides the vital links for walking, cycling and riding; the
combination of the two provides a highly integrated interlinked transport network
across the Island. The public therefore rely on a good transport network for
people and goods to travel from wherever they are to destinations of their choice,
both on and off the Island, with safety, reliability, ease of access, and at a
convenient time. The Island is a renowned destination for walking and cycling,
not only through celebrated annual events, but as a real means to getting around,
delivering a healthy Island both in terms of benefits to the population and the
environment.
The strategy aims to achieve improved transport infrastructure, travel plans andimproved public transport provision and an increase in opportunities for walking
and cycling. The aim is to offer people more choice about the ways in which they
travel, whilst seeking not to penalise those for whom the car is the only realistic
solution.
Car ownership on the Island continues to remain relatively high, due in the main
to the rural nature of the Island, which places additional reliance on the car for
certain types of journey. However, during the summer season the traffic on theIsland changes significantly with the influx of tourist traffic.
The ferry ports, both passenger and vehicle services, are important gateways to
the Island. The numbers crossing the Solent for business or pleasure have
increased steadily over time and this increase in cross-Solent traffic, coupled with
increased car ownership and use, has further added to the transport challenges
the Island faces.
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A number of new and improved Park and Ride facilities are being promoted to
reduce congestion. Whilst the improvement, maintenance and management of
the highway network alone cannot deliver all of the aspirations set out in the
strategy, it will make a significant contribution to delivering the strategy. The PFI
Project will provide a focused and comprehensive means of injecting much
needed resources to overcome past backlog maintenance and, once appropriate
standards have been met, maintain these over the longer term. As such, a high
quality, fit for purpose highway network should become a consistent, reliable and
integrated part of the Islands infrastructure to support implementation of other
strategies and policies.
2.11 Local Transport Plan 2006-2011 (LTP2)
The Local Transport Plan sets the policy framework for determining the transport
needs of the Island, and brings together the transport policies and strategies in a
cohesive manner. The statutory Isle of Wight Local Transport Plan was adopted
in March 2006 and sets out how transport will be improved on the Island over the
period 2006 -2011. The Plan was approved by the DfT and developed through
extensive consultation to achieve the following objectives:
To increase accessibility for all. To encourage and support economic prosperity and regeneration.
To make Island roads safer.
To improve local air quality and conserve and enhance the environment.
To tackle congestion.
To ensure effective management of the highway network.
To achieve value for money solutions.
The LTP supported the development of the PFI bid and acknowledged the key
role that the initiative would have in delivering the Plan and in particular the road
maintenance and road safety targets set out in the Plan. The PFI will clearly beinstrumental in delivering a large part of the LTP strategy which is set out below;
The Plan seeks to promote alternatives to the car and reduce congestion
and pollution
Increased numbers of people will walk or cycle using improved
cycleways, footways and pavements.
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The Plan seeks to reduce traffic accidents through a range of
engineering solutions and hearts and minds initiatives.
The road infrastructure on the Island will be maintained to good
standards, and will assist the public transport network using it.
Provide investment in a safe, well maintained road system, including a
network for buses, lorries and coaches, through for example the private
finance initiative.
The 2006 LTP set a series of ambitious targets for achieving high quality
highways by 2010 - to have no overall deterioration in the condition of the
principal and the unclassified road network, footway condition and to reduce
death and injury on roads. Although 2010 is now recognised as an unachievable
date, the target standards will be achieved on completion of the PFI Project core
investment period.
The LTP incorporates a Rights of Way Improvement Plan, the primary aim of
which is to ensure the most effective use of the Rights of Way network. The Plan
recognises the significant contribution that the Islands 851 km of non-vehicular
highways make to sustainable transport on the Island. It also seeks to ensure that
the Rights of Way network continues to be managed as an important componentof the overall highway network. The Rights of Way Improvement Plan is wholly
concerned with improving facilities for walking and cycling away from road traffic
and will therefore assist in delivering the quality of life objectives of the LTP. The
inclusion of cycleways within the PFI scope will contribute towards achieving that
objective for Islanders and visitors alike.
Whilst the current LTP2 does not cover the whole period of the PFI contract, the
5 year renewable plan will continue to build the Eco Island theme, consistent withthe Highways PFI Project.
Revised LTP guidance is expected in the summer of 2009 and whilst there may
be some changes from the original draft it is anticipated that the final guidance
will still require local authorities to produce a two part plan, including the overall
strategy and detailed delivery programme.
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The draft guidance indicates that the plan should take account of the following
five key goals:
Tackle climate change.
Support economic growth.
Promote equality and diversity.
Contribute to better safer, security and health.
Improve quality of life.
The PFI Project will support these goals and will be a fundamental part of the
delivery programme.
2.12 Area of Outstanding Natural Beauty (AONB) Management Plan
The Island has a unique and important natural environment, which is protected by
national and local designations covering both landscape and ecology to help
protect the character of the Island. The Isle of Wight AONB Partnership is a
broad based independent organisation with representatives from many local,
regional and national organisations and individuals with a direct interest in the
AONB. It seeks to ensure a co-ordinated approach to the conservation and
enhancement of the AONB.
The minor and unclassified road network and cycleways, are often key features in
the AONB landscape. Coastal roads, highway verges and hedgerows that form
the boundary define the contours of the undulating landscape; the unclassified
roads contain a number of historic signs which form the rural character; lighting in
rural areas is managed sympathetically to prevent light pollution. The treatment of
the cycleways and the coastal roads in particular, will play a crucial part in
preserving the natural landscape and ecology. The management of the natural
environment is therefore an integral part of highway management. Both the
investment programme and the services of the PFI Project will need to be
sensitive to areas of outstanding natural beauty and the natural environment
through carefully designed output specification requirements.
The aims and objectives of the IWC Highways PFI Project are consistent with the
national economic, transport and environmental policies, enabling these to be
delivered at local level, in order to achieve the nationally set objectives. The Isle
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of Wight Council Highways PFI is one of the three Highways pathfinder projects
and will provide a constructive model for delivering highway maintenance and
operations in a largely rural context. The uniqueness of the Islands road network,
characterised by the following, provides a valuable benchmark for future policy
and standards development:
a largely rural road network;
a largely captured economy allowing;
o correlation between transport investment and economic
regeneration
o a significant proportion of the investment and multiplier effects to
remain in the Island to regenerate its economy,
an operational regime for delivering a comprehensive highways service in
an environmentally sensitive area.
This PFI Project clearly meets national regional and local strategic objectives by
removing the backlog of highway and street lighting repairs, providing a long-term
service strategy to maintain assets at an acceptable and appropriate standard,
over a long period, by environmentally sympathetic and sustainable means.
The IWC Highways PFI, together with the other two Highways pathfinder
projects, will provide the Department for Transport with an ability to develop
national standards to cover the full spectrum of highway network characteristics
across local authorities in England and Wales.
2.13 Historic Built Environment
2.13.1 Public Realm
The visual impact of highway works can significantly affect the quality and
appearance of the public realm. This is particularly important in designated areas
such as AONBs, conservation areas or directly affecting the setting of listed
buildings and historic assets. Traditional materials for surfacing, kerbs, structures
and other details should be maintained or replicated.
In addition there are some remaining traditional street lamps, railings, signs and
other structures which make an important contribution to the locally distinctive
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character of towns and villages. Any historic street furniture will therefore be
recorded and retained.
The overall quality and appearance of the Islands public realm is important to
residents and businesses and directly affects the tourist industry. The use of
appropriate design and materials should therefore be given prominence in the
output specification.
2.13.2 Archaeological Heritage
The Island has in excess of 6500 known Archaeological Sites and Monuments. In
addition there are other Scheduled Monuments and Areas of High Archaeological
Potential. It is unlikely that the reconstruction and resurfacing of carriageways will
result in disruption of any archaeological site; however, the Council will set out all
known sites to prevent the PFI Provider unwittingly trespassing into these areas.
Where the refurbishment of the highway is likely to encroach into an identified
site, the PFI Provider will be required to carry out a comprehensive assessment
and develop appropriate mitigation measures.
2.13.3 Natural Environment - Species and Habitats
The Island is home to a number of rare and endangered species and also to
significant and varied areas of sensitive habitats. Works within the boundary of
the highway and cycleways have the potential to adversely impact on these or
nearby species and habitats.
Whilst the highway surface itself does not form a natural habitat, verges, hedges,
banks, ditches and roadside trees contribute to the natural environment. Natural
habitats are recognised through a hierarchy of designations from those of local
importance such as Sites of Importance to Nature Conservation (SINC), nationalSites of Special Scientific Importance (SSSI), through to European Special
Protection Areas (SPA) and Special Areas of Conservation (SAC) and wider
international designation as Ramsar Site for wetlands and wildfowl. Some
species have specific protection under UK or international legislation.
The PFI Provider will be expected to develop highway schemes that protect the
natural environment for these species. Good practice and protocols built into the
maintenance of highways and verges in rural environment will ensure that the
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natural environment will be protected and enhanced throughout the PFI contract
period.
2.13.4 Historic Environment Action Plan (HEAP)
The HEAP contains the historic roads, tracks and lanes and their associated
boundaries, hedgerows and earthworks. These are described in the "Historic
Routeways" HEAP report. The HEAP requires early liaison with the County
Archaeology Service, the Conservation and Design Team and the AONB Unit to
ensure that any work does not have an adverse effect on the historic
environment. These requirements will form part of the Output Specification and
the PFI Service Provider will be required to carry out the required consultations.
2.14 Transport Asset Management Plan
A Transport Asset Management Plan (TAMP) was produced, in partnership with
Chris Britton Consultants, during 2006 to aid knowledge based decision making.
The highway inventory was initially prepared by John Reid Consultants. This has
now been updated to take into account the fact that the Isle of Wight Council has
been chosen as a pathfinder Highways Maintenance PFI authority.
The TAMP is the Councils primary document for detailing the standards andpriorities applied to maintaining the Islands transport network for all users. The
plan mirrors the proposed PFI since it covers all elements of the transport
infrastructure. The TAMP will serve as a baseline to the PFI Project.
2.15 The Network
Existing assets that will become the components of the Project can be
summarised as follows:
Highways (803km in length)
Cycleways (31 kms)Bridges and Structures
Footways and Kerbs
Drainage
Safety Fencing
Street Lighting
Street Furniture
CCTV
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Grass Cutting
On/Off Street Car Parking maintenance
2.15.1 Asset Inventory, Condition and Survey Data
The Council has built an exceptionally thorough record of its assets, and
repeatedly surveyed the network to improve the confidence level in related
condition data. The information is fully digitised and held in layers linked to an in-
house Geographic Information System (GIS) and will be available in the Project
Data Room. The Council will continue to survey assets and maintain records up
to the point at which responsibility is handed over to the PFI Provider.
A full inventory of street lighting, illuminated signs, bollards and other electrical
apparatus (e.g. CCTV), linked to a GIS system and including substantial column,
lantern, control and supply data forms part of the commercial database, together
with annual assessments of condition of the entire stock.
The asset inventory information available in the Project Data Room is outlined
below:
a. A detailed inventory of all bridges and retaining walls supported by six-yearly Principal Inspections (PIs) and bi-annual General Inspections (GIs)
of all structures on the highway network. Complete data for the last three
rounds of both PIs and GIs will be kept in the Data Room.
b. A full inventory of all street lighting points and illuminated road signs,
bollards verified by an independent sample site survey based on inspection
of 272 lighting points on the 32 streets selected at random across the
network indicated an error rate for the street lighting inventory of just 1%.
c. A drainage inventory made up of surface features, gullies and manholes,
has been completed and partial information is available on underground
features such as pipe locations and size. The sub-surface inventory is
about 60% complete but with an accuracy of 90+%. Some "poor" condition
drains have CCTV footage coverage to compliment visual surveys.
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d. Car parking inventory data on the primary assets, including ticket
machines, the number of parking spaces (on and off-street), their locations
and type of surfacing.
e. Full inventory data for all other assets including:
Traffic signals (with age profile data)
Road signs and street nameplates
Street furniture (bollards, benches, bins, shelters, planters)
Safety fencing
Highway trees.
A summary of the assets covered in the asset data base is set out below;
Appendix 4 sets out the details.
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Asset Item Quantity Unit
Type
PEDESTRIAN GUARDRAIL 13.1 kmSAFETY BARRIER 2.3 km
GULLY 19626 no
MANHOLE 8512 no
LINEAR DRAINAGE CHANNEL 4.2 km
CARRIER PIPE 370 km
CULVERT 189 no
CARRIAGEWAY - A ROAD 128.3 route km
CARRIAGEWAY - B ROAD 92.1 route km
CARRIAGEWAY - C ROAD 171.9 route km
CARRIAGEWAY - UNCLASSIFIED 410.4 route km
HIERARCHY 1 (to be used for PFI
Output Specification) 105 route km
HIERARCHY 2 (to be used for PFIOutput Specification) 82 route km
HIERARCHY 3 (to be used for PFIOutput Specification) 175 route km
HIERARCHY 4 (to be used for PFIOutput Specification) 441 route km
FOOTWAY - 1, 1a and 2FOOTWAY - 3 and 4
Rights of Way Cycleways (see para 1.7.6) 31 km
KERB 1031.2 kmSOLID CHANNEL 145.6 km
ROAD SIGN (NON-ILLUMINATED) 14815 noSTREET NAMEPLATE 3501 noROAD STUD 127.1 km
STREET LIGHT 12068 noILLUMINATED SIGN OR BOLLARD 2438 noCCTV 76 noTRAFFIC SIGNAL 78 sets
BRIDGE 119 noRETAINING WALL 599 no
BOLLARD 3812 noHAZARD MARKER 4634 noSHELTER 241 noBIN 1046 no
SEAT 1027 noPLANTER 219 no
Landscape TREE 1715 no
ON STREET TICKET MACHINE 70 noOFF STREET TICKET MACHINE 79 noPAY-AND-DISPLAY ON-STREET
PARKING SPACE890 no
PAY-AND-DISPLAY OFF-STREETPARKING SPACE
4899 no
FREE OFF-STREET PARKING SPACE 1009 noPAY-AND-DISPLAY ON-STREETPARKING ZONE
15 no
PAY-AND-DISPLAY OFF-STREET CARPARK 52 no
FREE OFF-STREET CAR PARK 29 no
INVENTORY DATA
Structures
Car Parking
767.22 km
Street Furniture
Footways
Kerbs andChannels
Road Signs
Electrical Items
ASSET
Drainage
Pavements
Safety Fencing
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The following information on asset condition will also be available in the Project
Data Room;
1. A video of the entire network is available from SCANNER. This provides
additional information to the basic numerical data, and enables a view of the
network without having to repeatedly drive it.
2. SCRIM for the A, B and C class roads measured annually.
3. Annual SCANNER data for all A, B, C and unclassified roads. This
information is also available broken down into road hierarchies 1 to 4. A mini-
SCANNER survey has recently been used to provide the information on the
unclassified road network.
4. Historic Annual Coarse Visual Inspection (CVI) data for the unclassified road
network. (now superseded by use of mini scanner).
5. 100% Detailed Visual Inspection (DVI) data for all categories of footways for
the last year along with historic data for category 1 and 2 footways.
6. Deflectograph data for all A class roads, together with those B and C class
roads that are subject to substantial HGV traffic.
7. A full inventory and condition data of kerbs, channels (solid and linear
drainage), edgings, street furniture, road signs, safety fencing and bollards.
2.15.2 Road Pavement Condition
The highway network has been reclassified into hierarchy 1 to 4 as follows:
Hierarchy 1 (H1) >10,000 vehicles
Hierarchy 2 (H2) 5-10,000 vehicles
Hierarchy 3 (H3) 2 5,000 vehicles
Hierarchy 4 (H4)
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The Council, through its consultant WDM Ltd, commissioned a survey condition
assessment model to calculate the carriageway/footway backlog and on-going
lifecycle requirements of the network incorporating suitable hand-back provisions.
Through the model, industry standard survey data is translated to an output
based performance measurement which is repeatable, transparent, and
accurately reflects asset condition at specified milestones during the project life.
The model operates at three levels; network hierarchy, condition banding, and
road section criteria. An overall hierarchy based Network Condition Indicator
(NCI) is generated to reflect the specific needs of the network where differing
target criteria are applied depending on the road hierarchy to which it relates.
Surface condition (SCANNER) together with skid resistance (SCRIM) and
residual life as a measure of structural strength (Deflectograph) are used as
survey inputs. Individual thresholds are set to represent the required service
levels. The use of nationally recognised survey methods will give prospective
Service Providers confidence in the resulting information and allow future
predictions based on the trend analysis of previous annual data.
SCANNER surveys are to be used for all Hierarchies 1-4. The DfT national
indicator, the Road Condition Indicator (RCI), allocates road lengths, or networks,into three condition bands Red, Amber, and Green. Red indicates a length of
highway where maintenance should be considered. For Hierarchies 1 to 3 the
prime NCI will be a maximum % of RCI by length; the value chosen reflects the
performance of good standard of service. As Red levels can be maintained or
reduced by allowing the Amber band to increase at the expense of the Green
the NCI will be required to have default levels of Amber and Green.
Previously, Coarse Visual Inspections (CVI) have been used as the basis forHierarchy 4 roads condition. In a move to embrace innovation, SCANNER output
has recently been developed nationally for unclassified roads and these now form
the basis from which IWC models Hierarchy 4 condition.
In order that an indicator cannot be influenced by visual assessment of the
surface alone the NCI for Hierarchies 1-2 will include an assessment of
strength, from Deflectograph. Safety must also influence the indicator; skid
resistance from CSC values will provide the necessary inputs. Upper threshold of
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RCI, and/or intervention levels for individual parameters will act as trigger for
maintenance.
The national indicator for footways (Class 1 and 2) will form the Footway
Condition Index (FCI), based on the results of DVI surveys. A lower standard FCI
will apply to Class 3 and 4 footways to reflect an appropriate service level.
The detailed operational aspects of the technical modelling process are
discussed in further detail at Appendix 5.
2.15.3 Street Lighting
The table below provides an overview of the age and stock profile of the street
lighting asset.
Age Steel Conc AlumWood
PoleOther Total Profile
0-10 Years 3535 0 0 145 19 3699 30.65%
10-20 Years 3149 8 55 292 40 3544 29.37%
20-30 Years 429 259 1033 456 13 2190 18.15%
30-40 Years 235 468 1483 161 1 2348 19.46%
40-50 Years 39 61 103 36 48 287 2.38%
Total 7387 796 2674 1090 121 12068
Profile 61.21% 6.60% 22.16% 9.03% 1.00% 100.00%
In addition there are 2,438 illuminated signs and bollards.
Electrical Supply Network: Information within the Street Lighting and Illuminated
Traffic Signs Inventory indicates that between 2% and 5% of the electrical supply
network consists of private cable network. The remaining 95% to 98% of the
electrical supply network is provided by the Distribution Network Organisation
(Southern Electric).
2.15.4 Traffic Signals
The Council has assessed the condition of the Traffic Signals asset throughout
the Island to determine the level of refurbishment/upgrading required. The
assessment works have indicated that the asset is in very poor condition and
could result in electrical safety issues in the future.
Details, including age and stock profile of the Traffic Signals are provided below:
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Age SitesSites
Profile
Signal
Points
Signal
Profile
0-10 Years 51 66% 304 76%
10-20 Years 24 31% 90 22%
20-30 Years 2 3% 6 2%30-40 Years 0 0% 0 0
40-50 Years 0 0% 0 0
Total 78 100% 400 100%
2.15.5 CCTV
The Council has assessed the condition of the CCTV asset throughout the Island
to determine the level of refurbishment/upgrading required. This assessmentindicates that the asset is in poor condition. The Council is currently progressing
a CCTV refurbishment scheme for which tenders were returned in May 2009; the
scope includes an increase in the number of cameras, refurbishment of the
control room and maintenance of the existing stock.
2.16 Current Service Delivery and Performance
The majority of the Councils highways related services are managed from
Newport, the exception of a Street Lighting office at Ryde. Most of the
professional, technical, administrative and financial functions are carried out in
house with only a small amount of backup from technical consultants.
In relation to works, the Council acts as a commissioning agent and no longer
has a direct labour organisation. Construction and maintenance work is carried
out through annual or framework contracts.
Performance is monitored by a combination of National and Local performance
indicators. Service performance is good regarding cyclical maintenance, such as
highway verge maintenance and street cleansing. However, national indicators
show the Council is generally in the bottom quartile on asset condition
2.16.1 Current Spending on Island Roads and Bridges
Following years of less than adequate investment in the Islands roads and
bridges, the rate of deterioration has outstripped the rate of investment, resulting
in continually declining standards of service. Last year, the road network
condition had reached such a low point, that the Council had to find additional
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funding to prevent further deterioration and road closures. The current levels of
annual spend are:
2006/07 2007/08 2008/09
Capital 1,516,897 750,520 2,724,633
Revenue 1,803,228 1,661,255 1,969,766
2.17 Drivers for Change
2.17.1 The Service Gap
The Council's statutory duty under the Highways Act 1980 to maintain the
highway network means that it will be necessary to provide a highway
maintenance service for the foreseeable future.
Paragraph 3.4.1 of "Well-maintained Highways - Code of Practice for Highway
Maintenance Management" published by the UK Roads Liaison Group of CSS in
2005, declares that the purpose of highway maintenance is to maintain thehighway for the safe and convenient movement of people and goods. The core
objectives of highway maintenance are stated as the delivery of:
Safety;
Serviceability; and
Sustainability.
The six most significant elements of work on the Council's highway network are:
1. Carriageways
2. Footways
3. Bridges and other structures
4. Street lighting
5. Drainage
6. Car Parks
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The differences between the current and desirable positions (the "Service Gap")
for each of the three core objectives in relation to the most significant elements of
work on the Council's highway network are described below.
2.17.2 Carriageways
Safety
The safety of carriageways can be quantified by:
Surface skid resistance;
Number of carriageway Insurance Claims by third parties; and
Number of urgent defects (ie. those treated within 24 hours)
Surface skid resistance - the skid resistance of A, B and C class roads on the
Council's network is tested annually. The 2008 surveys indicated that 32 percent
of A roads, 22 percent of B roads and 31 percent of C roads are currently at or
below the Investigatory Level.
The number of third party insurance claims relating to carriageway defects
increased by a factor of three in the past five years, as shown in the chart below.
Third Party Claims Relating to Carriageway Defects (June 2009 Data)
The number of instructions to attend highway emergencies due to urgent
carriageway defects, such as potholes, has increased by a factor of three in the
last three years, as shown in the chart below.
162
104
56 47 51
04/05 05/06 06/07 07/08 08/09
Year
NumberofClaims
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Carriageway Emergency Instructions Issued (2 hour response)
These charts indicate an increasing number of events that are compromising the
safety of the carriageway.
Serviceability
The serviceability of carriageways can be quantified by:
Asset condition; and
Ride quality (e.g. smooth, pothole free surface);
Asset Condition - Until recently, the general condition of carriageways was
measured and compared nationally using a series of BVPIs which indicate the
percentage of the network where structural maintenance should be considered.
The table below shows the 2007/08 BVPI results for the Isle of Wight incomparison with the top and bottom quartile thresholds for that year. The Isle of
Wight results mostly fall into the bottom quartile for both unitary authorities and all
English authorities.
Carriageway Condition Indicators 2007/08
Performance Indicator IWC
Actual07/08
Unitary Authorities All England
Ref Description Topquartile
Bottomquartile
Top quartile Bottomquartile
BV223 % of the principal road
network where structural
maintenance should be
considered
9 3 7 3 7
BV224a % of the non principal road
network where structural
maintenance should be
10 4 11 5 10
1892
747
581
06/07 07/08 08/09
Year
NoofInc
idents
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considered
BV224b % of the Unclassified road
network where structural
maintenance should be
considered.
38 7 15.5 8.5 18
Since 1 April 2008, national indicators NI168 and NI169 have replaced best value
performance indicators BV223 and BV224a. However the national indicators are
measured on the same basis as the 2008 best value performance indicators. A
comparison of the BV results and the available NI results are given in the table
below, which shows that carriageway condition continues to deteriorate.
Carriageway Condition Indicators 2007/08 and 2008/09
IWC Actual Performance
2007/08 2008/09
Performance Indicator BV223 NI168
Percentage of the principal road
network where structural maintenance should be
considered
9 12
BV224a NI169
Percentage of the non principal
road network where structural maintenance should
considered
10 15
The condition of all categories of the Council's carriageways falls well short of
that achieved by the best performing, or even average performing, authorities
and these gaps can only be closed by a significant increase in investment in the
future.
Ride Quality - Longitudinal Road Profile has been used as a measure of ride
quality. The latest 10m Profile and 3m Profile SCANNER results given in the
table below indicate the percentage of A, B and C class roads that have road
profiles worse than the upper threshold contained within UKPMS.
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Road ClassPercentage of network above the upper threshold
10m Profile 3m Profile
A 18 12
B 17 14
C 34 27
Sustainability
Some recycling of carriageway material takes place at present, and some in-situ
recycling has been undertaken. There are no carriageways surfaced with noise
attenuating materials on the Council's network.
2.17.3 Footways
Safety
The safety of the footways can be quantified by:
Number of footway insurance claims by third parties;
Number of urgent defects requiring treatment within 24 hours
As shown in the chart below, the annual number of third party insurance claims
relating to footways defects is variable but has been on a generally upward trend
in recent years.
Third Party Claims Relating to Footway Defects (June 2009 Data)
As shown in the chart below, the number of emergency instructions to attend to
urgent footway defects has also been on an upward trend but dramatically
increased in 2008/9. It remains to be seen whether that is a random annual
variation or indicative of the impact of a deteriorating network condition.
30 28 27
23 18
04/05 05/06 06/07 07/08 08/09Year
NumberofClaim
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Footway Emergency Instructions Issued (2 hour response)
Serviceability
The general condition of footways, until recently, was measured and compared
nationally using BVPI 187. The table below shows the 2007/08 BVPI result for the
Isle of Wight in comparison with the top and bottom quartile thresholds for that
year. The Isle of Wight performance falls into the bottom quartile for both unitary
authorities and all English authorities.
Footway Condition Indicator 2007/08
Performance Indicator IWC Actual
07/08
Unitary Authorities All England
Ref Description Top quartile Bottom quartile Top
quartile
Bottom
quartile
BVPI 187
Conditions
surface footway 46 12 30.3 14 29
Sustainability
Sustainability is not currently a significant factor in the maintenance of highway
pavements.
No recycling of footway material takes place at present.
2.17.4 Bridges and Other Structureson the Highway Network
Safety
Parapet risk assessments (PRAs) were undertaken in 2005 by OPUS and a
priority ranking for upgrade works was derived from its report. Three bridge
218
149153
06/07 07/08 08/09
Year
NoofIncidents
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parapet upgrades are being carried out in 2009/10, and more will be undertaken
prior to commencement of the PFI contract.
This assessment of parapets did not include the 600 or so retaining walls which
are the Council's responsibility. It is anticipated that a substantial number of these
will not conform to modern standards.
Serviceability
From a user perspective the key requirements for structures are:
Structural condition (i.e. safe for use and structurally sound);
Adequate parapets (in terms of height and strength);
Full access (no temporary weight restrictions or height limits); and
Aesthetic appearance. (i.e. evidence of regular routine maintenance)
Structural Condition The Council calculates a Bridge Condition Score (BCS)
from its inspection data. This is an 'existing condition' score with a numerical
value between 1.0 and 5.0, but it does not recognise structurally sub-standard
elements. For example, a bridge parapet without significant defects would be
given a BCS score of "good", even though that parapet does not meet current
containment standards. The current distribution of BCS values is shown below.
2009 Highway and Car Parks Bridges and Retaining Walls BCS Values
BCS ValuesVery Good Good Fair Poor Very Poor Failure
1.00 - 1.30 1.31 - 1.80 1.81 - 2.70 2.71 - 3.70 3.71 - 4.70 4.71 - 5.00
No.
structures112 (16%) 238 (33%) 306 (42%) 56 (8%) 6 (1%) Nil
Total Number of bridges and retaining walls for Highways Department / Car Parks = 718
Structural assessments are undertaken on an intermittent basis but the majority
were carried out over 10 years ago and reviews are required to re-evaluate the
load-carrying assessment calculations.
The BCS figures demonstrate that the overall 'existing condition' of the bridge
stock is in fair to good condition, however, given that some structural
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assessments were undertaken some years ago and as illustrated by the backlog
of PRAs significant work may be required to upgrade to current standards.
Sustainability
Sustainability is not currently a significant factor in the maintenance of highway
bridges.
2.17.5 Street Lighting
Safety
In common with many other local authorities the Isle of Wight has a history of
under investment in its lighting stock. This is compounded by the corrosive effect
of the salt-air which accelerates the degradation of street lighting columns and
traffic sign posts. Consequently, a significant proportion of the IWC street lighting
and illuminated traffic signs asset is in seriously degraded condition due to the
combination of age and environmental conditions. Additionally it is estimated that
50% of the existing lighting levels fall below current European and British lighting
standard requirements. As part of this Project, lighting levels will be reviewed
and modifications made to provide a solution inline with BS5489.
Serviceability
The Isle of Wight has a term maintenance contract arrangement for the provision
of a street lighting maintenance service with SEC Ltd. The contract is operated
under a traditional term contract arrangement procured using the ICE model form
of contract.
The table below, which shows the term maintenance contractors self reported
performance in rectifying street lighting faults against the BVPI performance
indicators, indicates a performance levels consistently above target standards.
Ref Performance Indicator Definition Target IOW Actual Performance
05/06 06/07 07/08
BV215a
Average no of days taken to repair a street
lighting fault which is under the control of the
local authority
3 1.89 2.39 1.98
BV215b
Average no of days taken to repair a street
lighting fault where response time is under the
control of a DNO
20 9.01 6.13 9.91
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The table below, which details the
top related