The business case for TIF and the City Garden Project by Mike Shepherd

The Technical Feasibility Study for the City Square Project was published in 2009. A key problem area was identified early on:

UTG Stair “The difficulty in quantifying the economic gain is considerable. To describe the benefits in cultural and civic terms and to focus on the future raison d’être of the City of Aberdeen will become the means of explaining the benefits. However it is very difficult to make these benefits seem tangible. Yet this is precisely what will have to be done for a proposal to succeed.”

Three years later, and with the scheme rebranded as the City Garden Project, they are still struggling to give any clear explanation for the economic benefit.

The business case for Tax Incremental Financing (TIF) was presented to Council on Wednesday. TIF is a mechanism whereby a local authority borrows money from central government funds to finance a development project. Any new business rates created by the project are used to pay off the loan and interest. It is intended to act as a self-financing mechanism.

The City Garden Project has a nominal cost of £140m, of which the promised private sector contribution is £70m. Aberdeen City Council is being asked to underwrite a £70m loan through a TIF scheme. This is part of a larger plan to redevelop the city centre which includes knocking down St Nicholas House, the Denburn car park and health centre area.

The TIF business case presented to councillors is, however, seriously flawed.

http://committees.aberdeencity.gov.uk/mgConvert2PDF.aspx?ID=18350

An Attractive Aberdeen

The main justification for the City Garden Project is that it would apparently create a high quality city centre to make Aberdeen more attractive. This is supposed to act to retain and draw in energy and other professionals, together with an increased number of visitors.

Research shows that talented people choose place rather than job when making location decisions. As an Energy City, Aberdeen competes for skilled people with….areas like Abu Dhabi, Kuala Lumpur, Houston and Perth (Australia).”

Yet, a survey published two months ago makes this claim somewhat questionable.

ABERDEEN has been rated one of the world’s top cities to live in for the second year in a row, a survey published today reveals.  Quality of life in the Granite City is ranked above that of Hong Kong, Los Angeles, Houston and Dubai in the study, which is used by governments and multinational firms to help decide where to send staff.”

http://www.pressandjournal.co.uk/Article.aspx/2536835

Jobs Creation

Most controversial is the claim that regeneration of the city centre could create 6,500 jobs.

The report sets out how his figure was derived. A questionnaire was sent out by the Council to companies and a small number of interested parties in Aberdeen with the intention of assessing the economic impact of the city centre redevelopment. One of the target groups comprised key developers, land owners and agents. Of the 35 parties in this group, only one replied to the questionnaire. They then contacted all remaining 34 developers by phone. Even then, when directly approached, only six of the 34 were prepared to speak to them.

Unfortunately this question did not garner any responses

The developers were asked ‘to identify the extent to which the delivery of each of the five development schemes would result in uplift in development potential for housing, retail outlets, office space, business units, hotels, tourism and leisure in the City Centre’.

However:

“No respondents identified the project as having any impacts on the development potential for business/industrial units in the City Centre”.

Then:

The next question in the survey requested developers to provide an indication (in quantifiable terms such as the number of units, square footage etc) of the extent to which the identified benefits would impact upon their organisation’s investment plans and/or objectives. Unfortunately this question did not garner any responses as consultees felt it was too soon and/or complex to attribute impacts in these terms.”

That questionnaire wasn’t that much help then.

“Additionally it was apparent that individual developers and other respondents identified potential uplifts in activity and recognised that the timing of investments would be brought forward as a result of TIF. However, many of these developers still had expectations that, irrespective of future economic conditions or City Centre Regeneration Scheme (CCRS) , their specific sites will be taken forward. It was apparent that individual developers and other respondents identified potential uplifts in activity and recognised that the timing of investments would be brought forward as a result of TIF. However, many of these developers still had expectations that, irrespective of future economic conditions or CCRS, their specific sites will be taken forward.” (HA!)

UTG hanging flowers SO WHAT DID THEY DO NEXT ?

“In balancing these different responses (i.e. CCRS will act as a stimulus to market uplift in general versus developers views that each individual site is likely to be taken forward anyway) the Council, ACGT Enterprises and their advisors have initially assumed a profile of development under the no CCRS scenario whereby:

“None of the cultural, leisure or retail elements of the CCRS projects will be taken forward;

“At least one major site totalling 0.720 million square feet will be taken forward in the anticipated timescales projected by developers regardless of CCRS; and,

“On the remaining sites identified, 1.369 million square feet will go forward without TIF over the 25 year period considered, but such developments will lag, on average, three years behind the profile assumed with CCRS.

“On the remaining sites identified, 2,029 million square feet of development (out of total development potential of 3.468 million square feet) will not go forward without the CCRS, over the proposed 25 year TIF period.”

THIS IS THE KEY BIT

“the Council, ACGT Enterprises and their advisors have initially assumed a profile of development “

AND THEN …

Took the 2,029 million square feet figure, multiplied it by ‘standard job density ratios,’ and came up with 6,500 jobs.

Assumptions?

So what happened next?

“In balancing these different responses (ie CCRS will act as a stimulus to market uplift in general versus developers views that each individual site is likely to be taken forward anyway) the Council, Aberdeen City Garden Trust Enterprises and their advisors have initially assumed a profile of development under the no CCRS scenario whereby:

…. 2,029 million square feet of development (out of total development potential of 3.468 million square feet) will not go forward without the CCRS, over the proposed 25 year TIF period.”

The footage was multiplied by standard figures which relate development area to the number of jobs likely to be created, hence 6,500 jobs.

The key word here is ‘assumed’. An exercise in speculation somehow translated into a press statement that the City Garden Project will create 6,500 jobs. This wild claim led to much scepticism. It was pointed out that the London Olympics are only predicted to create 3,000 new jobs.

The Risks

The discussion on project risks is somewhat lightweight. One concern is the possibility of massive cost over-run on the project. The report even tacitly recognises the possibility:

“It has demonstrated with the redevelopment of Marischal College that it can have a major project delivered on time and under budget. This is a rare accomplishment in such large projects.”

In June 2010, I gave a deputation to a Council meeting where I asked who would pay for any cost over-run on the City Garden Project. The then Chief Executive, Sue Bruce, decreed that the private sector would pay, not the Council. Since that meeting, there has clearly been little progress on the matter. The report mentions that:

“Before entering into any TIF arrangement, ACC will endeavour to structure an arrangement with its private sector contributors that minimises ACC’s risk exposure.”

UTG display The Council should walk away from the project unless it gets a legally-binding commitment from the private sector to cover all costs of any project over-run. The major financial problems caused in Edinburgh Council as a result of the projected £200m-plus overspend on the trams project should be foremost in councillors’ minds, one would hope.

TIF can be a risky way to borrow money. The risks are understood by the Council:

“For most TIF projects the most significant risk would be in relation to the business rates identified not materialising or being delayed. This would result in ACC having insufficient revenues available through the TIF mechanism to service and repay their borrowings.”

There is another risk. The loan will be in place for a period of 25 years, gradually being paid off, it is hoped, by new business rates. Like a mortgage, interest will accrue on the unpaid part of the loan. The business case assumes an interest rate of 5.2% over the 25 year period. Should interest rates rise by only 1%, then there will be a predicted shortfall of £20.7m left to pay after 25 years.

Careful reading of the TIF business case for the City Garden Project shows that it is based on unexplained assumptions, optimistic extrapolations and will involve financial risk for the Council. Yet the public are being told otherwise.

Tuesday’s ‘Press & Journal’ quoted a City Garden Trust director, who mentioned they had polled 50 people in Aberdeen. Those against the City Garden Project had said the city could not afford the project.

“When the funding was explained and the economic benefits outlined, ten of these people changed their minds. “

This is what I would have told them instead.

“Your house needs doing up, you are heavily in debt, you can barely find the cash for the essentials in life. Should you take out an enormous mortgage for a new patio and garden? No!”

 

One of America’s biggest stars, Rosie O’Donnell, has admitted to millions that she was “moved to tears” by the hit feature documentary You’ve Been Trumped when the film’s director was the main guest on her show last week.

Trump Swing

Footage of what the National Union of Journalists (NUJ) described as filmmaker Anthony Baxter’s “violent arrest” was broadcast across  America for the first time.

The broadcast prompted scores of outraged viewers to hit Twitter and Facebook to voice their anger at the actions of Donald Trump, the Scottish Government and Grampian Police.

On The Rosie Show, Baxter revealed how Freedom of Information requests made by the Sunday Herald have only heightened concerns that Grampian Police “have been acting like Donald Trump’s private security force”.  He also accused the force of carrying out a “whitewash cover up enquiry’ into his arrest.

The arrests of Baxter and his colleague Richard Phinney whilst making their film in 2010 prompted fierce criticism from the NUJ. The union described the police’s actions as “a breach of human rights” with “important implications for press freedom”.  

Meanwhile, O’Donnell is urging Americans to watch what she describes as “an amazing film”. She admits to crying during the scene where hundreds of people walk across the bulldozed dunes of the Menie Estate, to show of support for local resident Michael Forbes, accused by Mr Trump of “living like a pig in a slum”.

You’ve Been Trumped will be screened again in Chicago on 22 March, prior to its being rolled out for screenings in Europe as well as in Washington DC, Miami, New York, San Francisco, Arizona and other major American cities.

Clips from The Rosie Show…
http://www.oprah.com/rosie/The-Rosie-Show-Rosie-Takes-on-Trump

You’ve Been Trumped has won a total of eight international film festival awards

WINNER: Starz Denver Film Festival, USA
WINNER: Take One Action Film Festival, Scotland
WINNER: Michael Moore’s Traverse City Film Festival, Michigan
WINNER: DaKINO International Film Festival, Bucharest
WINNER: Hamptons International Film Festival, New York
WINNER: Edindocs Film Festival, Edinburgh
WINNER: Wild & Scenic Environmental Film Festival, Nevada City
WINNER: Sheffield International Documentary Festival UK

Michael Moore hand-picked You’ve Been Trumped for his Traverse City Film Festival in Michigan where it won the Special Jury Prize. It is now well on course to be the most successful cinema feature documentary ever produced in Scotland.

 

On January 2nd an Aberdeen-based member of Scottish Palestine Solidarity Campaign (SPSC) took part in a new project to re-plant trees in previously devastated areas of Palestine.  Dave Black, along with other members of the Stop the JNF international delegation, joined individuals from a nearby refugee camp, trade union representatives, youth activists, Stop the Wall campaigners and representatives of political parties. The group planted 111 trees, representing the number of years that the Jewish National Fund (JNF) has been in existence, playing a key role in Israel’s policy of displacing and dispossessing Palestinians.

82-dave-in-imwas-or-canada-park The JNF controls land that the organisation openly decrees is solely for the benefit of Jewish people; non-Jewish people are not able to live or work on the land and it can only be sold or rented to Jewish people.
The organisation is a quasi-governmental one, with extremely close ties to the state; it is often referred to as a para-statal organisation.

Despite the JNF’s clearly discriminatory policies, the Israeli state maintains this strong relationship with the organisation.

The trees were planted in Tulkarem district, formerly one of the richest and most important districts of Palestine. In 1948, most of its lands were taken and dozens of villages destroyed. The JNF played a key role in the destruction of some of these villages and the ethnic cleansing of their population.

The land where the trees have been planted, in the city of Tulkarem, was historically part of the agricultural land of the city. However, in 2002 the Israeli military bulldozed the entire stretch of land, supposedly for “security reasons”.  Tulkarem has also been one of the districts most affected byIsrael’s illegal separation wall, which has destroyed some 8.4 square kilometres of olive and other fruit trees, 37.3 km of water networks, 15 km of agricultural roads, as well as irrigated agricultural land in Tulkarem, Qalqiliya and Jenin districts.

Despite poor weather on the day there was a large turnout and the event was welcomed by those involved.  A representative from the Palestinian Farmer’s Union explained the importance of such events that bring different groups together:

“the participation of farmers, youth groups, friends from various organisations and others increases belief in the justice of our cause and the belief that we are not working alone against the Occupation. The land that was so important land to us was uprooted by the Occupation”. 

He also added that the event was timely because of the ongoing attacks by settlers on Palestinian land.

Aberdeen’s ties to the project were already significant as the local branch of SPSC last year raised £650 for the Plant-a-Tree in Palestine project.

92-tulkarem-tree-planting Over 5 days the group walked 84 miles along the path of Hadrian’s Wall, raising awareness of the Stop the JNF campaign and also of the separation wall.

The group’s efforts went towards funding the planting event in Tulkarem.  It is hoped that the Plant-a-Tree in Palestine project will build to support the ongoing struggle of Palestinians to rebuild by providing resources for villages to plant trees that are indigenous to Palestine’s natural environment and agricultural life.

The delegation included members of Palestine solidarity and campaign groups in Scotland, England, the United States, France, Austria, as well as a representative of Midlothian Trade Unions Council.  The main activity of the delegation was 5 days of fact-finding and educational visits around Israel and the West Bank, followed by the day of tree planting in Tulkarem.

The group visited Al-Araqib in the Naqab/Negev desert, a Bedouin village which has been destroyed 33 times since July 22nd 2010.  The trees of the village have been destroyed and thus the village’s livelihood and the JNF has been instrumental in displacing the Bedouin people of this area.

Within clear view of the village that remains is the Ambassadors Forest, one of the JNF’s many forests in Israel.  As the delegation spoke with villagers, including the sheikh of the village, a truck drove by on the sandy, desert road.  The truck was on its way to provide water for the new JNF trees; the wrong trees planted at the wrong time, thus requiring much additional water.  The village of Al Araqib has no water supplied to it, but instead villages have to watch trucks drive past on their way to irrigate trees that are steadily taking over their land.

94-dave-planting The group also spoke to a staff member of the UK ambassador’s officer in Israel, who was visiting the village in preparation for the visit of the British ambassador and Parliament Under Secretary of State Alistair Burt.

The chance meeting allowed the British members of the delegation to raise the issue of the UK’s complicity with the JNF and Israeli crimes, and specifically Early Day Motion (1677) which was tabled last year and currently has over 50 signatories.

The Early Day Motion outlines the discriminatory nature of the JNF and calls for the revocation of the JNF’s charity status in the UK.  The motion also criticises the Prime Minister’s patronage of the JNF, a situation which was addressed for the first time since the foundation of the JNF when David Cameron stepped down as patron last year.

For the first time since its creation not one of the three main party leaders in the UK are patrons of the organisation.

Later in the week delegates visited refugees in Ramallah (in the West Bank) who had originally lived in the Palestinian village of Imwas.  The refugees told the group the fate of their village in 1967 when it was overrun by Israeli forces set on taking the Latrun Salient, a hillside seen as a key strategic target.

Photos were shown, taken from exactly the same position, that illustrated the dramatic changes to the village and land in the 1960s and 70s.  The first photo showed part of the thriving village, the final one showing what is now known as Canada Park.

Canada Park is one of the many parks and forests that JNF has been responsible for establishing in Israel, or in this case Israel and the West Bank.  Sections of the park, such as where the village of Imwas once stood, are within the Palestinian side of the “Green line”, or armistice line drawn up at the end of the 1967 war.  However, there is no sign of this and almost all visitors to the park remain oblivious, nor is it explained that the walls of the park entrance are built with the bricks of the houses of Imwas.

Delegates visited the park along with Said, a direct descendant of a family which was displaced from Imwas.  Said stood with his own children at the remains of his father’s house, now only the barest of remnants.  The group was also shown the other remaining evidence of the village: unmarked, unprotected memories scattered around the archaeological set-piece of Roman Baths for tourists to enjoy.  The gravestones of villagers stand just a few feet from one of the park’s picnic benches – a stark, chilling image.

46-british-park-sign Another JNF park, British park, was also visited.  This was of special interest to the UK participants on the delegation.

The park is built over 2 Palestinian villages: Ajjur and Zakariyya. The villages were 2 of the roughly 500 villages where massacres and forced population transfer of Palestinians from their lands in 1948.

This period is known by Palestinians as the Nakba – Arabic for “catastrophe”.

The JNF played a key part in planning the Nakba and then went on to expropriate the land of Palestinian refugees and proceeded to build parks, such as British Park, on the land using funds raised by the JNF around the world.

In 1948 the village of Ajjur was populated by 3000 people. Three of the original houses of Ajjur remain today, including what was previously a clinic and is now a winery serving the new Israeli towns that now intersperse British Park.  Where the market of Ajjur once stood is now inhabited by a play-park and some, presumably, “British” sheep; a favourite picnic spot for those visiting British Park.

On the fifth day of the delegation the group visited Al-Walaja, a town that was established in the West Bank after the original village of Walaja was destroyed; the JNF went on to build the Kennedy memorial on the land.  After years of living in caves near the original town, the new town was established and former residents could return to some form of normality.  Normality, that is, until the development of Israel’s illegal Separation Wall, which is set to once again devastate the village.

The wall is still under construction and already surrounds much of the town, but when complete will completely surround the town.  Residents will be forced to use an access road controlled by the Israeli military if they wish to leave. This wall will cut residents off from much of their agricultural land, and will inevitably lead to displacement away from the town as residents look to find viable employment.

56-al-walaja-wall-ends The locations visited by the delegation left those involved in no doubt of the JNF’s deep complicity in crimes against Palestinians, past and present.

Witnessing the situation that faces so many Palestinians inevitably shocked, saddened and deeply moved those involved.

However, none of the delegates failed to be inspired and in awe of the resistance of the Palestinian people who fail to lie down and accept the injustice that has been forced upon them.

Many different forms of resistance were seen, some large and obvious and some more subtle but no less impressive.  The commitment to resistance of those that were encounters served to emphasise the important of the ongoing efforts around the world to show solidarity with Palestinians, such as the Boycott, Sanctions and Divestment campaign against Israel.

The Plant-a-Tree in Palestine project is one such way in which people can resist the injustices enforced by the JNF and the Israeli government.

The project will never be able to compete with the financial clout of the JNF and the 240 million trees that this has allowed the organisation to plant in Israel and the West Bank.  However, the project does allow a positive way to act against such crimes, enabling Palestinians to resist ongoing attempts at dispossession.

As Stop the Wall Co-ordinator Jamal Juma pointed out, it is also serves as an ideal way to educate those affected, Palestinians young and old, about the role of the JNF in the dispossession of their homes.  The project also offers great potential for future collaboration between Palestinians and the international community to take part in non-violent resistance against the Israeli government’s attempts to entrench the illegal occupation of the West Bank, dispossess Palestinians within Israel of even more of their lands, and take away the rights, enshrined in international law, of 7 million refugees to return to their homes in Israel.

For more on the Stop the JNF campaign:   www.stopthejnf.org
Join the Palestine campaign in Aberdeen:  Aberdeen@scottishpsc.org.uk
Visit:
 www.Facebook.com/Spscaberdeen

 

Aberdeen’s contentious Tullos Hill  deer cull / tree-planting scheme takes a particularly strong blow as a Freedom of Information request shows that the financial picture is not as ‘cost-neutral’ as its (few) supporters would have us think.  Suzanne Kelly examines the newly-released figures for Phase 1 of the planting and questions the logic of proceeding with Phase 2.

deer5pic Aileen Malone, Aberdeen City Councillor and Convener of the Housing & Environment Committee has been silent on the subject of her pet project and Liberal Democrat election manifesto pledge lately; she’s not answered emails on the subject, nor has she appeared in the media to defend the scheme.
The Liberal Democrat party headquarters likewise have not replied to any emails on the matter of the deer cull to date.

Malone is the de facto figurehead for the plan to cull the roe deer (which have happily lived in the area for decades without the need for a cull) in order to plant a staggering 89,000 trees on Tullos Hill. 

When full details broke as to what this Phase 2 planting entails emerged, individuals, community councils and animal welfare charities expressed dismay and disbelief.

One of the main arguments offered by its proponents is that planting the trees and shooting the deer is ‘cost-neutral’, or in the words of Councillor Neil Fletcher in an email concerning the cull:-

“… this project is at practically no cost to the tax-payer”.

But is the scheme as cost-neutral as its City Council proponents claim?  The answer is most definitely NO.

The attached spread sheet excerpt was obtained in mid-December following months of requests  (note that a line has been added to show a refund the City had to make – this was somehow omitted).  Aileen Malone wrote in early October to advise an officer would get back on the matter shortly.   When no information was forthcoming , a Freedom of Information request was lodged (and answered slightly later than was meant to be the deadline).

The City’s (incomplete) spread sheet

The spread sheet from the city shows incoming money as negative and outgoings as positive figures.

There is an outgoing sum of £3,000 at Line 18 with no explanatory text.  There is likewise a line for £142 – this may relate to an advertising supplement extolling the virtues of the scheme, but this is not certain.  The city also forgot to take off the £43,800 it had to return for the failure of phase 1 on Tullos.  Combining all of the figures together, I get an indication that Aberdeen may be £20,600 in the red at this point – and yet may look to go ahead with a bigger plantation.

See: Tree-for-every-citizen-finances/

Dames Violets At Tullos. Will They Be History If The Trees Are Planted? Looking at the list of money going in and out of the account, it seems that the scheme was not the simple, cheap, well thought-out plan promised.   When the finances are considered in conjunction with a soil report issued by the Forestry Commission, it is possible to conclude the plan is deeply flawed and expensive.

The the soil report indicates that Tullos Hill’s soil quality  means the trees would be subject to ‘wind throw.’  This means that winds (such as the extremely strong winds frequently experienced this winter) will more than likely topple trees growing on the hill.

The report also points to the possibility that trees simply will not thrive on Tullos for a variety of reasons– but what is the financial impact of failure?

The costly Phase 1 failure- £43,800 in grant money repaid

The City was forced to repay £43,800 of grant money (after months of being chased for payment, it should be noted) to the Forestry Commission.  Presumably this money was generated from the taxpayer in the first place – therefore the taxpayer may well have wound up paying both for the trees to be planted as well as for their failure to thrive.

While the City has chosen largely to put the blame for the failure on some 29 roe deer in Loirston County Park, the failure belongs  in no small part to those who selected the site, who decided to buy smaller tree guards than had been recommended, who ignored the historic wind, weather and soil data, and who did little about weeds.  Perhaps an investigation is called for into the selection of Tullos in the first place, and into any possible negligence on the part of those involved.

Will Aberdeen be taking another grant from the Forestry Commission – which arguably we were led to believe was already arranged?

If so – why?  What are the implications of a failure of 89,000 trees financially speaking?  Unfortunately, according to the Freedom of Information response, thereares as yet no financial plans, budgets or projections available.

Considering the proponents originally gave a deadline of May 2011 for private individuals to stump up £225,000 to save the deer (a figure which exceeds the £200,000 Phase 1 grant!), it is highly worrying that projections for the future phase 2 scheme cannot be supplied as ‘the information is not held’.  Had the scheme’s supporters come clean in these respects months ago, this scheme may not have gone so far down the road as it has been allowed to.

Paying for Experts

Animal charities offered the services of other forestry experts to the City free of charge with a view to finding a way to plant trees without killing the deer – something which is quite possible to do.  Deer will apparently be culled for several years (there are thought to be 29 deer in the area which roam from site to site; these creatures usually live 6-7 years, and in some instances are fed by local people).

The city denigrated the experts, and advised it already has an expert.

Tullos Hill. Beautiful Without A Forest The identity of the City’s expert has never been made known.  At one stage it was suggested that they were being paid for their services in connection with ‘A Tree for Every Citizen.’

Looking at the companies listed on the spread sheet involved and the people who serve on these companies, a number of forestry experts seem to be involved as paid consultants. As such, these people might be seen to have a vested interest in a Phase 2 planting going ahead; it would be human nature to protect one’s source of income.

One of the people whose names crops up in a list of company directors has many directorships to their credit – including charcoal and sawmill director/company officer roles.  Some of the twenty or so companies on this person’s list of directorships have been dissolved, including a boomerang company or two.

Further research into the companies and individuals mentioned on the Council’s spread sheet is under way.

Aberdeen officials have issued conflicting statements on the nature of the forest to be created – some say it will bring in revenue which will help pay for the scheme; others say no such plans are in place.  If a sawmill plant, lumber jacking or charcoal works  (and these types of business interests are reflected in the company activities of people involved with the scheme per the spread sheet) are envisaged for Tullos, then the public should be told.

If one or more persons with vested interests in making profit from lumber are refusing the advice / peer review from animal welfare experts with forestry experience, then the entire scheme should be examined in a public, transparent forum and reviewed by a number of recognised experts.

Surely an impartial, scientific professional would normally welcome experienced, free advice even if they chose not to heed it.  The claims of expert advice seem hollow when in one document tree guards are discarded as deer control devices because they have ‘visual impact.’

Can complete impartiality of someone who may stand to gain from the Phase 2 planting going ahead be guaranteed?  How can there be an objection to wider scrutiny?

Sponsors and ‘Educational’ use of children to plant trees:  I wouldn’t count on it

Companies which donated to the first phase of the ‘Tree for Every Citizen’ scheme are understandably reluctant to use their budgets for controversial Phase 2.

weed protection of some sort will be required which may impact other wildlife, and yet the wind may make it all in vain.

Two major companies have indicated that they will not sponsor this next phase.  Will any business want to put their brand’s value at risk by association with an unpopular scheme and deer cull?  It is highly unlikely, but some in the council seem to think sponsors will be found.  Again, there seems to be nothing budgeted, just nebulous talk of seeking business sponsors.

Schoolchildren are being relied on to make the plan look more affordable; they will be asked to help plant the trees on Tullos.

It seems doubtful that local parents will willingly give consent; thousands have signed a petition against the scheme, and over three thousand people are on a Facebook group opposing the scheme.  Clearly if the scheme will have to pay for planting all 89,000 trees when it had hoped to use children in part, then the scheme becomes even less financially sound.

The educational benefits of planting saplings should also be delivered alongside the fact a cull is being implemented not for animal welfare reasons (the Scottish SPCA condemns this particular scheme) as it is (allegedly) the cheapest way to protect the trees,  that weed protection of some sort will be required which may impact other wildlife, and yet the wind may make it all in vain.

Other costs; environmental costs

Weeds were largely to blame according to a Forestry report for the Phase 1 failure.

The Aberdeen taxpayer will be paying for several years of ‘weed control’ for Phase 2 – this may mean spraying pesticides which will damage other plants, insects, birds and other wildlife.  Using pesticides in an area near factories, homes and schools will also lead to further citizen protests.   Aberdeen paid £7,125 for Bryan Massie specifically for weed control in Phase 1 (as well as another £22,800). If the weed control was inadequate then, then how much more will we spend annually?

It is important to remember that Tullos already has its own wildlife and is a thriving ecosystem in its own right.   Gorse clearance is also recommended, although many environmentalists state that gorse is a food and habitat haven for much wildlife.  How much money will the taxpayer spend ripping up gorse?

The winners

According to the City’s information, the following companies have made money on the scheme:

CJ Piper & Co                     £42,000

Bryan Massie                     £30,000

Dulnain Bridge                   £77,800

Scottish Woodlands        £11,700

TM Forestry                       £44,400

(unspecified)                     £  3,000

TOTAL:                                                                  £208,900

(Note – while over the months there have been different figures mentioned and unofficially given, it is assumed that the most accurate set of figures is the one supplied by the Freedom of Information request received mid December which is used in this article).

The future:  No tangible financial projections – and no funding application lodged

The Freedom of Information request seems to be admitting that no budget for the future phase is held by the City.

An earlier FOI request shows that despite everything the proponents have said and done, there is as yet no formalised application lodged for a second phase.  This means that for nearly a year the claims of proponents such as Malone that the scheme was going to go ahead and was going to be cost neutral were inaccurate.  It is possible that some of the members of the Housing Committee voted in favour of this plan based on its being cost neutral; if so, the matter should be examined by that Committee and the relevant Audit Committee.

It is safe to assume that not every single grant application gets approved.  We seem to have a situation for  Phase 2 where there was no final, formal application for funds lodged, no approved funding in place, and no budget in place.

When the £43,800 repayment is subtracted from the accounts it certainly looks as if some £22,000 more than was granted was spent on Phase 1, leaving a budget deficit for Phase 2 before it even starts.

In the absence of information to the contrary the evidence speaks for itself.

Conclusion

Parents of school-age children might wish to check with their schools as to any planting plans involving their children.

Voters might want to ask their City Councillors how they stand on the issue now, and if they were in a position to vote on the matter in May 2011, did they then believe the scheme was cost-neutral.  Private sector companies might wish to think twice before entering any sponsorship/funding deals for Phase 2 as well – it does not look like a public relations win any longer.

The whole point of the cull was to make the tree planting possible, yet some council officers and elected officials want to backtrack on that point now. They now claim it is for animal welfare reasons and not the trees. However, the entire unfolding history of the City’s claims are a matter of record.

What may have started out as a great-sounding greenwash election plank has irrevocably turned into an unpopular, controversial, seemingly disorganised non-starter.  It is time to leave Tullos alone for now – or to consider enhancing its status as meadowland.  Anything else just does not add up.

 

Over three years ago, Sir Ian Wood announced the City Square Project with the intention of replacing Union Terrace Gardens with “a cross between the Grand Italian Piazza and a mini Central Park.” It has since been renamed the City Garden Project. The cost of building the project is nominally £140 million, of which it has been proposed that £70M of this would be borrowed by Aberdeen City Council involving a tax scheme.  Mike Shepherd offers some analysis of current local government trends, the recession, and what it may mean for Aberdeen.

utg02pic So what is the justification being put forward for this expensive project, a project that has caused so much controversy since it was announced?

The project’s supporters allege the City Garden Project is needed to ensure that Aberdeen is attractive enough to retain energy professionals long term and to ensure Aberdeen’s economy is based on tourism post-oil.

For instance, an advert by ACSEF in the Press and Journal (January 2010) stated that:-

“Creating a new heart for Aberdeen presents a unique opportunity to put the city on the ‘must visit’ list.”

 Aberdeen City Council is £562 million in debt (2010 figure).
See:
http://www.scotland.gov.uk/Publications/2011/02/21143624/4

Last November, Perth and Kinross Council approved demolishing the listed Perth Town Hall to build a Civic Square in its place, a move that has raised much controversy.  The BBC reported:

“The council said many local businesses supported the civic square proposal. And council officers have argued that full demolition and reuse of the site as a public space would provide the most additional value to the local economy.  The cost of scheme is estimated at £4.4m, but the report said an additional 15,000 people per year would extend their stay in the city, with an extra 60,000 coming for events. “This would result in a combined additional spend per person per visit of £23 generating a total gross expenditure of £1.65m per annum,” it added.
See:
http://www.bbc.co.uk/news/uk-scotland-tayside-central-15742937

Perth and Kinross Council is £222 Million in debt (2010 figure).

A similar controversy has been raging in Cork, Ireland, where the struggling Cork Council has been involved in a plan to install the Sky Garden Project. Celebrity TV gardener Diarmuid Gavin’s Irish Sky Garden won the gold medal at the Chelsea Flower Show (It looks like a giant hanging flower basket).

  There is a pattern here. Local governments the world over are in serious debt

The Council agreed to put the garden on permanent display in the city’s Fitzgerald Park at a cost of at least €300,000, with more than €1.7 million given to the project by Fáilte Ireland, the Irish tourism body.

In tones, redolent of the Aberdeen controversy, the Irish Independent wrote:

“THE taxpayer could be hit with a further bill of over €100,000 in costs connected to Diarmuid Gavin’s award-winning garden.

“Workers’ Party councillor Ted Tynan said the council needed to clarify precisely how much the garden cost, and what the council would pay in transport, insurance and operating costs. He also expressed disbelief that the garden — including its 30-metre high floating ‘pod’ and crane — may only open for three months each year.

“I love gardens and flowers and parks, but this is absolutely ridiculous. You’d put a hell of a lot of flower beds around the city for this kind of money. We should keep our feet on the ground not in the clouds with a sky garden’,” Mr Tynan said

“There are 500 boarded-up council houses in Cork and 120 people with various disabilities waiting on home adaptations. But the funding to go to all this has been cut by central government,” he added.

“Last night, the council said support for the “iconic garden” was in line with the policy that led to the creation of successful visitor attractions in the city.”

“This is part of a long-term policy to create a necklace of top tourist attractions that will bring people to Cork, get them to stay longer here and spend more money here,” a council spokesman said.

“Fáilte Ireland insisted that the garden would generate significant tourism earnings.”

See: http://www.independent.ie/national-news/diarmuid-gavinrsquos-euro2m-lsquosky-gardenrsquo-growing-in-cost-2661548.html

There is a pattern here. Local governments the world over are in serious debt. Services and amenities are being cut, yet it doesn’t stop them from spending money on expensive big-ticket items that might bring visitors in.  There is a feedback loop between local government, chambers of commerce and national government that serves to create the syndrome, “if we build it, they will come”.

  While a worthy cause, this has caused controversy as the annual budget will be part-funded by the city’s Common Good Fund

Where local economies have failed as in Cork for example, tourism may be the last throw of the dice to engender outside income.  There will be much competition for the dwindling number of international tourists as the recession bites. Recent reports suggest that countries such as Greece and Spain will focus relentlessly on promoting tourism as the last glimmer of light in their busted economies.

Aberdeen has caught up on the trend of pushing long-term tourism. The local chamber of commerce have been promoting a new destination marketing organisation for the city called ‘Visit Aberdeen’.

While a worthy cause, this has caused controversy as the annual budget will be part-funded by the city’s Common Good Fund; £107,000 for 2011 / 2012 and potentially for the next six years also. Arguably this is more ‘commerce good’ than ‘common good’.

The draft business plan recognises the future of the City Garden Project / Union Terrace Gardens as a primary issue. It is to be hoped that an organisation part-funded by Common Good money will not be promoting the controversial development of a public park that lies on Common Good land.
See: http://committees.aberdeencity.gov.uk/mgConvert2PDF.aspx?ID=15678

Are the citizens of Aberdeen willing to support the allocation of scarce resources to “a build it and they might come” vision for the city, allowing a public park to be developed for the sake of possible future tourists? Or is this all pie in the sky stuff that will use up money desperately needed elsewhere and will result in the appearance of the Granite City changing forever?

You have the chance to decide yourself.  The referendum on the fate of Union Terrace Gardens will be held in February.

 

 

 

 

 

 

greenheartpic_0 By Mike Shepherd.

The jury for the City Garden Project will announce the final scheme for the proposed development of Union Terrace Gardens sometime in January.  The choice will be between two designs, one with a web-based motif and the other with a big glass building in the middle which looks like a giant worm.

It is clear from both designs that most of the existing trees will be removed to build the new ‘garden’, whichever is built. 

New trees could of course be planted, but it would be decades before these grew to a comparable size, and this may not even be possible in those areas with a shallow concrete substrate. There will be claims that some of the smaller trees could be replanted, although the practicalities of this are obvious.

The big trees are particularly important as they absorb carbon and filter more pollution from the air compared to smaller trees. One study concluded that for this purpose:

“Big trees, the ones the Victorians planted for us, are what we need to maintain, but they are few and far between.”
See: http://www.theecologist.org

This week saw the shocking news that people living in Scottish cities are being exposed to dangerously high levels of pollutants. A WWF Scotland report identified three pollution hotspots in Aberdeen; Union Street, Market Street, and Wellington Road. These show  levels that are in breach of EU targets intended to protect human health. The main problem is the high levels of nitrogen dioxide caused by traffic fumes.
See: http://www.pressandjournal.co.uk

utglamppic Aberdeen has a highly-polluted city centre. The solution to the problem would be to reduce the level of traffic in the city centre; pedestrianising Union Street has been suggested as an option.

It is also clear that we need to maintain the tree population of the city centre to help absorb the pollution. The key areas are Bon Accord Gardens, St. Nicholas churchyard and Union Terrace Gardens itself. Otherwise, Aberdeen city centre can hardly be described as awash with trees.

Yet, the proposed City Garden Project will remove a population of mature trees from the city centre. The problem is acknowledged in the Technical Feasibility Study for the project.

“Removal of mature trees and existing ecological habitat; 78 mature trees would be lost including 17 number mature Elm trees. The ecological value of these trees would take decades to replace as many of the trees are up to 200 years old.”

The City Garden Project will itself be a major source of pollution while it is being built (for the duration of almost two and a half years according to the same study).

“Excavation of rock/earth; It is anticipated that 30,000m3 of earth and 35,000m3 of granite will need to be removed from site. This which will cause large environmental impacts from noise, dust, transport and energy use. The removal of this volume of material is equivalent to approximately 3,947 dump trucks of earth and 4,605 dump trucks or more of granite to be removed from site or re-used where possible on site. This would have large environmental and social impacts on the local area and community surrounding the gardens.”
See:  
http://www.acsef.co.uk

It is clear from this, that the ecological downside of building the City Garden Project is substantial. The construction phase will see a protracted period of dirt and pollution in the city centre. By contrast, it is no exaggeration to describe Union Terrace Gardens as the green, living heart of the Granite City; its big trees acting as a natural washing machine, helping to keep us healthy by removing noxious pollution.

Those living in Aberdeen City will receive a postal ballot in mid February allowing them to decide between retaining Union Terrace Gardens or sanctioning the construction of the City Garden Project.

I will vote to retain Union Terrace Gardens.

 

On Wednesday 14th December, Aberdeen College Students Association staged a protest outside the Loch Street entrance of Aberdeen College’s Gallowgate centre  as a fight back against education cuts.  As it stands there will be a reduction of 20% in college budgets in Scotland over the next three years.  Patrick Neville reports.

studentpic The damage caused by these reductions will result in catastrophic cut backs that will directly affect colleges. These cuts have a high probability of affecting student financial support, staff jobs and classroom resources and for some colleges may cause course closures and forced mergers. If it is financial support that is affected then students from poorer backgrounds will face another barrier to progress through education and will be segregated from the rest of the students.

College education must be a priority in the budget. Colleges in Scotland serve as a medium for people of all ages and backgrounds to access further education.

With less access to college education, hopes for people to successfully be able to find future employment or develop the skills necessary for their lives are at serious risk.

Lani Baird, President of Aberdeen College Students’ Association, said:

 “The level of cuts the Government are suggesting that colleges should endure is absolutely outrageous. The damage caused by these reductions could result in catastrophic cut backs resulting in a cut to student support, staff jobs and classroom resources. For some colleges these cuts could result in course closures and forced mergers. If there were efficiency savings to be made at Aberdeen College they have been made, if there was fat to be trimmed it’s been done.

“If financial support is affected, the poorest students will be the worst hit and risk becoming alienated from education. When there is less access to college education for our community, the hopes for people to find employment or develop the skills necessary to improve their lives are put at serious risk. This further cutback will have a damaging impact on students in the North East and the Scottish Government need to take their head out of the sand and do something about it.

“We are calling on all North East MSPs to protect our colleges and the future of thousands of students. Colleges in Scotland serve as a medium for people of all ages to access education that helps enable them to work. MSPs must make protecting college education a priority in the budget.”

The National Union of Students (NUS) Scotland has begun spearheading a campaign on the matter titled “Our Future Our Fight” which is open to the Scottish public to participate in. A petition has been set up at http://www.ourfutureourfight.org/ which enables Scottish residents to sign their name in support of protecting college education. By signing the petition, a letter will be sent out on the senders behalf to their regional MP’s and MSP’s with additional room to add your own comments on the matter.

Please note that if you sign the petition, you should expect to receive an email back from your representatives.

 

terminal5pic With thanks to Dave Macdermid.

The campaign undertaken by Nestrans, the statutory regional transport partnership for the North-east of Scotland, to urge the European Union to exert powers to protect the current level of slots to and from Aberdeen at London’s Heathrow Terminal 5 has received the support from the airports concerned.

Derek Provan, Managing Director at Aberdeen Airport, commented.

“The regular connection into Heathrow is essential to the area as it gives access to one of the major international airline hubs and also a short connection into the centre of London. Scotland is geographically distant from the main European hub airports and, particularly in the north of the country; we have no viable surface access to them. We are also seeking to rebalance our economy by growing our exports, increasing inward investment and attracting more tourists, in line with the UK Government’s Economic Strategy.

“We are building on the increasing exports derived from the knowledge and skills base of our energy supply chain expertise and from our premium food and drinks industry, both of which are making a substantial contribution to the UK economy with significant potential for growth.

“In addition, it gives easy access from the south to the international businesses located in and around Aberdeen and the economic benefit of having this link cannot be overestimated.”

These views are complemented by BAA Strategy Director Andrew Macmillan, who is based at Heathrow.

“Heathrow’s position as the leading international hub airport in Europe gives the UK, and the companies that operate here, direct access to the global markets upon which strong economic growth depends. Connectivity has been central to building and maintaining the UK’s global trading position over the past three hundred years, and it is essential in these difficult economic times that we maintain and improve links between as many different economies as possible.”

Nestrans is collating the views of businesses, politicians and individuals in advance of the UK Government’s aviation consultation, from which the EU will consider options for aviation policy going forward.

 

utgautumntreespic By Mike Shepherd. 

On Wednesday, Councillors approved to proceed with a referendum on the fate of Union Terrace Gardens.
After the heated negotiations over the referendum question, as reported in last week’s Aberdeen Voice, the question suggested by the Friends of UTG was eventually considered as appropriate.

The poll is to be completed by March 1st 2012, and the result is expected on March 2nd. 

The question to be asked is as follows:

“You are being asked to choose between retaining Union Terrace Gardens or replacing them with the proposed City Garden Project design. (Please read the voter information pack before you vote to make sure that you understand what is meant by “retaining Union Terrace Gardens” and “the proposed City Garden Project design”.)

Which option do you support?  (Please mark a cross in the box beside your choice.)

Retaining Union Terrace Gardens.

The City Garden Project design.

The referendum will involve a postal ballot, although the possibility of internet voting is being looked at. Voting packs will be issued around Thursday 16th February 2012 and ballot papers must be returned not later than 5.00 pm on Thursday 1st March 2012.

Those entitled to vote at this referendum will be those listed in the Electoral Register as local government electors at a qualifying address within the Aberdeen area, and who will have attained the age of 18 on or before 30th November 2012.

This means that those currently under the age of 18 but who are entitled to be included in the register in force until November 2012 with a qualifying date against their names will be entitled to vote in the referendum.

Qualified voters who are not yet on the register and who wish to vote in the referendum must apply to the Electoral Registration Officer at Woodhill House, Westburn Road,Aberdeen AB16 5GE.  Applications must arrive not later than 5.00 pm on Tuesday 10th January 2012.

The poll will be organised by an independent administrator, Crawford Langley.  Crawford comes highly recommended by those who have worked with him before. He will be responsible for the content of the voting packs to be sent to the electors, including the ballot paper, the counting officer’s statement relating to the referendum, the voter identifier, and statements from any campaigning organisations.

Councillors discussed whether the referendum should be binding or not. There are legal issues that mean the referendum strictly can’t be binding. However, in practice it will be effectively binding, as Sir Ian Wood has stated that he will withdraw funding for the project if the public reject it. The Scottish Government have also stated that they will not lend money to the Council if the public do not support it.

On March 2nd 2012 the fate of Union Terrace Gardens will be known. The people will at last be allowed to decide what they want their city centre to look like.

 

Aberdeen City’s ‘Tree for Every Citizen’ scheme, the proposed deer cull, and the case for meadowland preservation are examined in an extensive report issued by campaigner Suzanne Kelly.

Tullos Hill. Beautiful Without A Forest This report examines a controversial plan by Aberdeen City Council to attempt a second plantation of 89,000 trees on Tullos Hill.

The first attempt largely failed due to poor soil, weeds, and other factors, including arson, weather, and deer browsing – according to a Forestry soil report.  This first attempt cost the City £43,800.

The issues of how the City launched its public consultation (which omitted a 2-3 year weed control requirement and a deer cull) and how it has since responded to its Community Councils and citizens forms a large portion of this report.  The report also focuses on the benefits of keeping  the hill as it is – a grassland/meadowland, enjoyed by both people and a wide variety of wildlife.

The report and related documents can be found at  http://suzannekelly.yolasite.com/ 

The City has previously stated that this scheme is ‘cost neutral’ – but as emerged last month, there is actually no funding in place, as only a draft application has to date been submitted.  Proponent of the initial scheme, Cllr Aileen Malone, has left recent emails on the subject of the financing unanswered.

Meadows throughout the UK are being lost to development at an alarming rate.  In the same area as Tullos Hill, a football stadium is set to be built in an Special Area of Conservation (SAC), with 2 species of EU protected animals known to be present.  Also nearby, a housing development also spells loss of green space.  With wildlife losing breeding and feeding grounds in this area of the city, campaigners including Kelly and Councillor Neil Cooney are calling for a re-think to the tree scheme.

A Soil Report from the Government indicates that a planting on Tullos Hill will not be successful.

Petitions collected thousands of signatures against the cull, and four Community Councils objected to the scheme and the cull. A Facebook community on this issue has some 3,000 members.  A new petition to preserve or enhance Tullos Hill has over 400 signatories, and can be found at http://www.gopetition.com/petitions/tullos-hill-meadowlands-deer-park.html

Animal organisations, including the Scottish SPCA, condemn the proposed deer cull, which was announced in March.  Documents demonstrate that the cull was planned specifically for the tree planting, although the City’s officials are now saying it needs to cull part of the small herd (some 29) in general – the figure of 9 deer and a cull lasting a few years have been suggested.  The deer roam across several sites.

Animal charities point out that many methods of planting trees with non-lethal measures exist, and that other deer would likely move into the area after a cull.  Many experts question the wisdom of putting so many trees on a windswept hill on the North Sea where a previous attempt failed.

Kelly said:

“Many feel the deer cull should have been mentioned in the public consultation.  The consultation mentioned rabbit fencing, so people assumed that if other animal issues existed, they would also have been brought to the public’s attention.  Because the cull and the weed control (which may mean years of spraying toxins) were not included, no one raised timely objections.”

“The handling of this affair from start to finish goes against what the people in the area want.  It goes against principles of transparent, open government,  and it goes against logic.  There is a report that says it is unlikely the trees will grow – why are we throwing good money after bad?  Tullos Hill is a beautiful meadow with abundant wildlife, and its wildflowers attract visitors.  When we are losing this type of habitat to development nearby, why should we try to turn one ecosystem into another?”

There is a mailing list for anyone wishing updates on this situation; contact tullosdeer@yahoo.com

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