Agenda item

Executive Summary

The detailed design for the Schemes is now completed, the consenting process and further funding is progressing. We are in the process of reviewing the Construction Phase Proposal.

This report is to give an update on the Schemes as well as recommending next steps.

Options considered

Option 1 - Do not proceed: This option would cease all progression of work and inform funding bodies to reallocate funds to other priorities.  The communities of Cromer and Mundesley would not benefit from the coastal protection afforded by the schemes.  Such an option would not deliver the intent of the Shoreline Management Plan policies for these locations.  Option Discounted.

Option 2 - Seek protection measures further to the proposal: This option would seek to delay delivery in order to seek to raise further funds for additional protection measures.  This could inadvertently lead to the loss of the government grant and damage to the localities in the intervening years of seeking to make further arrangements. Given the current economic environment, if we were to delay these schemes any further, the costs of supplies and materials will continue to increase requiring significantly more funding from the Environment Agency. Option Discounted.

Option 3 - Continue with proposed scheme: This option would see the continuation of the scheme as proposed, seeking to maximise on protection to communities and assets.  Funding for the proposed scheme is available now including some funding from the EA to cover inflation costs. Recommended Option.

Consultation(s)

In October 2018 both the Cromer Phase 2 and Mundesley Coastal Management Schemes went to Cabinet and were granted support for the schemes to go ahead:

-       support the approach outlined in progressing the delivery of the Mundesley Coastal Management Scheme

-       endorse the approach outlined in progressing the delivery of the Cromer Coast Protection Scheme Phase 2.

In February 2022 both the schemes returned to Cabinet for the below approvals:

-       Support the continued approach of the Mundesley and Cromer Phase 2 Coastal Management Schemes.

-       Support of the appointment of Mott MacDonald to complete detailed design and consenting via the Dynamic Purchasing System and additional scope identified to complete the supporting Environmental Impact Assessments.

-       Approve construction via the Local Authority SCAPE framework.

-       Approve the submission of applications for consents and licences

-       Delegate to Director of Place and Climate Change with Portfolio Holder consultation to approve quotations, tenders, funding applications, access agreements and contractual appointments/variations to allow for timely progression of the schemes.

A communication and publicity plan has been put in place for these schemes, which outlines the ongoing and future communications with stakeholders and communities.

The communication plan includes all the following groups:

1)    Monthly officer working group meetings

2)    Monthly Major Project Board meetings

3)    Local Liaison Group meetings - key milestones

4)    Town and Parish Council meetings - key milestones

5)    Statutory Bodies and Public Consultation for Marine Management Organisation (MMO) and Planning Licences – ongoing

6)    Public Drop-In sessions held (7th and 8th March 2023)

7)    Websites

Recommendations

It is recommended that Cabinet resolves to:

1)    Confirm its continued support for the approach being taken in the delivery of the Mundesley and Cromer Phase 2 Coastal Management Schemes;

And that Cabinet recommends to Council, that it

2)    Approves an increase to the value of the Cromer and Mundesley coastal protection schemes from the £14.1m secured (but only £6.476m within the approved Capital Programme) to £25m within the Capital Programme, subject to the additional £10.5m from the Environment Agency (EA) as per applications dated August 2023.

3)    Delegates the authority to Director of Place and Climate Change, in consultation with the Coastal Portfolio Holder, to approve quotations, tenders, access agreements and contractual appointments/variations as the schemes move to the Construction phase.

4)    Approves increases in the delegated financial authority for the Director of Place and Climate Change (up to £1 million), for the Assistant Director of Place and Climate Change (up to £500,000) and for the Project Manager (up to £100,000) for these two schemes only subject to the condition that there is agreement with the Coastal portfolio holder and the Finance and Assets portfolio holder and a signed delegation form completed.

5)    If the full funding request for an additional £10.5m from the Environment Agency is not secured, agrees that the schemes are re-scoped to reflect the smaller scheme values.

Reasons for recommendations

To enable continued and timely progression for the Mundesley and Cromer Phase 2 Coastal Management Schemes.

An increase to the delegated financial authority is required as the payments made to contractors and suppliers will be of large value due to the size of the schemes. The increased authority levels will enable invoices to be paid promptly and in accordance with the contractual terms and conditions.

Full Council need to approve all additions to the Capital Programme, in accordance with the Constitution. Whilst additional grant has been applied for from the EA, which if successful would bring the total value of the two schemes up to £25m, the Council may not be successful in securing the full amount of the additional funding now being sought. If this is the case then approval for the schemes to be re-scoped is sought in advance to reduce any delays in delivery of the two schemes.

Background papers

In order to write this report the following documents were used:

-       Project Appraisal Report (PAR) for the Cromer Phase 2 Scheme

-       Outline Business Case (OBC) for the Mundesley Coastal Management Scheme

-       Cabinet Reports, 2013/14, 2018 and 2022

-       Feasibility report from Balfour Beatty

-       Preconstruction Report from Balfour Beatty

-       The Communications Plan

Wards affected

Cromer and Mundesley

Cabinet member(s)

Cllr. Harry Blathwayt

Contact Officer

Tamzen Pope, Coastal Engineering and Operations Manager, 01263516171, Tamzen.pope@north-norfolk.gov.uk

Fiona Keenaghan, Assistant Coastal Engineer, 01263516272, Fiona.keenaghan@north-norfolk.gov.uk

Links to key documents: Comms plan to be shared once updated

Corporate Plan:          

The scheme will meet the following corporate objectives:

Our greener future, our leading role in coastal adaptation.

By reaching the above corporate objectives, the following should be achieved:

1.    A reduced risk of erosion along the Cromer frontage

2.    Being able to maintain a suitable degree of protection against coastal erosion to the population and cliff-top properties and facilitate adaptation to the impacts of climate change

3.    Being able to maintain a stable beach in front of the seawalls and a beach for as long as possible

4.    Preservation of the amenity of the beach, including beach access

5.    Being able to maintain the historic and visual character of the frontage

Medium Term Financial Strategy (MTFS)                                

By undertaking the Schemes as soon as possible, the improved level of protection against coastal erosion should minimise the need to take any action and incur revenue expenditure over the medium term. So, whilst this will not result in revenue savings it will minimise the pressure on revenue budgets that might otherwise arise.

Council Policies & Strategies

These schemes contribute to the following Corporate Plan Objective:

Protect and Transition our Coastal Environments

·         Realising the opportunities of external funding to secure a sustainable future for our coastal communities through transition and adaptation responses.

·         Implementing the Cromer and Mundesley Coast Protection Schemes.

·         Continuing our programme of investment in coastal and resort infrastructure and amenities, building upon the progress made in recent years

Corporate Governance:

Is this a key decision 

 Yes / No

Has the public interest test been applied

n/a

Details of any previous decision(s) on this matter

Cabinet:

February 2014:

Budget for the Mundesley Scheme discussed and £307,000 contribution from NNDC towards the Scheme

October 2018:

-       support the approach outlined in progressing the delivery of the Mundesley Coastal Management Scheme

-       endorse the approach outlined in progressing the delivery of the Cromer Coast Protection Scheme Phase 2.

February 2022:

-       Support the continued approach of the Mundesley and Cromer Phase 2 Coastal Management Schemes.

-       Support of the appointment of Mott MacDonald to complete detailed design and consenting via the Dynamic Purchasing System and additional scope identified to complete the supporting Environmental Impact Assessments.

-       Approve construction via the Local Authority SCAPE framework.

-       Approve the submission of applications for consents and licences

-       Delegate to Director of Place and Climate Change with Portfolio Holder consultation to approve quotations, tenders, funding applications, access agreements and contractual appointments/variations to allow for timely progression of the schemes.