Jun 282012
 

Following the release of the City Garden project business case on Thursday afternoon, youth councillor Kenneth Watt comments on the financial plan.

“The report highlights initial concerns with the City Garden Project. All risks featured in the business case are of high or medium risk.
Most concerning is the risk of running out of private sector donations, which is the most severe risk in the report, at 75%. Aberdeen City Council are expected to gamble over half of the funding through the risky TIF scheme. 

“There’s no substantial back-up plan for failure to capture private investment.”

“Even if capital costs increase by just 10%, the loan won’t be repayable in 25 years and the council will have to increase its borrowing to over £100m. A leading economist said last year that capital projects such as these could easily cost double.
( Ref:
 Neil Baxter, Press and Journal 14/5/2010 )

“This project could really drive the city in to more debt which is not what my generation needs.”

“I’m worried about the long-term impact the project could have on the city. There has been no investigation in to the effect of building another theatre on our existing arts venues. I fail to see real evidence on how over 8000 jobs are going to be created by replacing a park with a park, adding an extra floor to the Art Gallery and improving pedestrian routes in the city centre.”

“The risk is just too high and I remain unconvinced by the business case. People inAberdeenvalue public services and are already feeling the effect of £618m of debt. They don’t need more worry caused by short-sighted economic plans centred around a park pushed only by the city’s out-of-touch wealthy elite.”

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Jun 072012
 

What is the probability that the City Garden Project will actually happen? Mike Shepherd looks at some of the obstacles it currently faces.

The City Garden Project cannot proceed if £70 million of private finance is not in place to fund it:

The nominal cost for the City Garden Project is £140 million, with £70 million each to be contributed from the private and from the public sector.
So far, only £55 million of private money has been pledged, although £70 million has always been the target figure. The project will stall if the full £70 million of private funding is not committed.

Aberdeen Council voted in January to agree the following:

“Instructs officers to enter into negotiations with a view to putting in place a development agreement with Aberdeen City Garden Trust (ACGT) and/or their representatives, which sets out the terms upon which Aberdeen City Council (ACC) would be prepared to make necessary Council owned land available, to realise the proposed development subject to;

“(x) Requires ACGT to confirm, in a legally binding form, that they have access to at least £70 million of private sector funds to invest in the CGP, prior to the signing of;

a. An appropriate Development Agreement, and

b. A TIF agreement confirming ACC’s ability to invest at least £70 million in enabling infrastructure related to the CGP.”
http://committees.aberdeencity.gov.uk/mgConvert2PDF.aspx?ID=18252

A council vote to give final approval to signing the Tax Incremental Financing (TIF) agreement will probably come up this summer. This is basically a request for a £92 million loan from the Scottish Government, £70 million of which would fund the City Garden Project.

The £55 million of pledged private money has been on the table since early 2010 and the full £70 million remains an unfulfilled aspiration two years later. The funding gap of £15 million will be difficult to make up.

One issue is that big companies who could afford to make donations on the scale of millions may be reluctant to get involved with such a controversial project.  They will not want to come under severe criticism from either the public or their workers.

Sir Ian Wood could come up with the extra £15 million, perhaps anonymously.  This would however be an admission that the project has failed to motivate the business community in the place where it matters: the bank vault.

The TIF business case is risky:

Noted academic Professor Tony McKay has criticised the business case for public funding through TIF as “the worst he’s seen this year”.

Claims that the project will create up to 6500 jobs and add £122 million per year to the city’s economic output are ludicrous, he says. He thinks that the Scottish Government will reject the application for a loan from central funds.
dailyrecord.co.uk/aberdeen-city-garden-business-plan-is-worst-i-ve-seen

TIF funding is based on the idea that without the core project, new businesses will not happen. These are the “But For” criteria that give the green light for putting a new TIF scheme in place. The new businesses created provide business rates to pay for the loan.

The Aberdeen business case contends that much of the commercial activity in two new business parks in the north of the city, and in the city centre, will not happen without the City Garden Project.

I suspect that few truly believe this, as the new business parks will attract inward investment to the city on the back of a currently resurgent oil industry anyway.

Nevertheless, I suspect that the Scottish Government will give a few knowing nods and winks to the “But For” criteria here. They may be amenable to allowing new business rates to be captured to pay off the Council’s loan of £92 million for the proposed city centre redevelopment.

But will it be enough? The business case makes it clear that the revenue will pay off the £92 million loan and accrued interest with a small margin to spare after 25 years. And required to do this are 6,500 new jobs and £122 million added to the city’s economy each year for the next 25 years, a “ludicrous” estimate as mentioned previously.

Let’s take the lesser case whereby the city gets 5,000 new jobs and about £100 million per year of added value. This would also be miraculous news for Aberdeen if it were to happen, but it would be a disaster for Aberdeen City Council. The council would be left with a shortfall on a very large loan. It might have to sell off assets to pay the difference.

Audit Scotland was aware of these problems when it expressed concerns about the City Garden earlier this year, stating that “a key risk will be the affordability of the project and its impact on the council’s finances”.
[Audit Scotland: ACC Annual Audit Plan 2011/2012 p. 10]
http://committees.aberdeencity.gov.uk/mgConvert2PDF.aspx?ID=18879&txtonly=1

The land issues are complex:

At some point Aberdeen Council will have to approve a deal transferring property rights to the Aberdeen City Garden Trust (or its equivalent). This deal would be likely to involve assigning a long-term lease, and the council have said that they will not sell the land.

There are major issues here, not least those arising from transferring what would be a property lease for public land, potentially worth millions, to a limited company.

Union Terrace Gardens lies on Common Good land and at some point the Council would have to apply to a Court of Session to allow development to take place.  Additionally, there are contracts in place for the use of Union Terrace Gardens as a park. A legal document from 1871 states that the area of  Union Terrace Gardens should on no account “be appropriated to any other use than that of a recreation ground for the public.”

The City Garden Project website mentions the following: 

The gardens will be run on a not for profit basis. All income will be put back into the running costs for ongoing upkeep and improvement of the gardens. The City Gardens will be able to generate income through activities held within the park; exhibitions, conferences and returns from coffee shops and restaurants.”
http://www.thecitygardenproject.com/faq.htm

I’m not a lawyer, but these issues look to be somewhat contentious. The January council meeting approved the allocation of up to £300,000 of council money to be spent on carrying out legal due diligence for the City Garden Project. The council lawyers must be very worried.

The new council make-up is not favourable to the City Garden Project:

The last council progressed the City Garden Project through its voting procedure with a comfortable majority on most occasions.

The new council looks to have an almost equal split between the ‘pros’ and the ‘antis’.
In addition, the Labour Party leading the new council administration has pledged to kill the City Garden Project.

There will be several votes to come, including a likely knock-out vote at the full Council meeting on August 22nd.

The City Garden Project will also need to survive the TIF business case approval, the development agreement and the planning submission.

This is an administration that will have other concerns. I’m told that central funding for Scottish councils is being cut by millions over the next three years, yet only 18% of the cuts have come through so far. The last thing any new administration will want is the divisive distraction of the City Garden Project and its potential to suck much-needed resources out of the council, for example the £300,000 on legal fees.

Council leader Barney Crockett is opposed to the City Garden Project. He has now been assigned as the Council representative on two bodies that support it: the City Garden Project management board and ACSEF. He will be a veritable cuckoo in what have previously been two cosy nests for the scheme.

The City Garden Project could itself be described as a cuckoo in the nest; its big yawning mouth crying to be fed with big gobbets of public money while other more deserving mouths lack succour. A hard landing beckons for this particular cuckoo.

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May 142012
 

In the wake of the local council elections in which the issue of developing Union Terrace Gardens appeared to play a major role, Craig Adams was compelled to write to the newly elected council ahead of a meeting which may well determine the progress of the City Garden Project. Craig shares his letter with Aberdeen Voice readers.

Dear Councillors,

I am writing to you with regard to the upcoming vote on The City Garden Project. The issues surrounding this project have been extensively debated, and to revisit them would be a waste of an email.
I’m guessing that many of you will long ago have formed your own personal opinion on the project, whilst others will, like your constituents, remain in two minds.

Instead, this email will concentrate on issues surrounding the recent public referendum.

I am not a supporter of any particular political party. At local elections I vote solely on the credibility and apparent integrity on the individual candidates. In national elections I usually spoil my ballot paper (and make no excuses for doing so). There is no political agenda here.

Many experts are sceptical of referendums, a view that some of you no doubt share. The purpose of representative democracy is largely to ensure that the people taking the decisions have thoroughly researched the details. Few people voting in a referendum are unlikely to be as well – informed.

It’s somewhat counter-intuitive that the larger the response to a referendum, the less informed the decision is likely to be. While referendums are a necessary part of democracy they are only appropriate under certain circumstances, and must be applied with great discretion.

Referendums work best when the facts are few and the choice is simple. A divided result is not a good outcome. There also needs to be a clearly defined winning line, its position determined by the context of what is being proposed.

There were several other issues surrounding the referendum on The City Garden Project, beyond whether or not it was appropriate or conclusive. The first was the wording of the question. I recall as a teenager going shopping with my mother for a new school uniform. The trousers that she picked were unfashionable. She told me “well it’s either those or you go to school in your underpants”.

The referendum question was loaded in a similar way, in that it ignored any option for Union Terrace Gardens other than Sir Ian Wood’s desired outcome. The implication being – this or nothing. The propaganda that followed reinforced the message that Union Terrace Gardens would be left to rot unless the CGP was built. In my experience the electorate were not split into two camps as has been suggested, rather there were those who wanted:

(a) the CGP

(b) some sort of improvement

(c) any sort of improvement except the CGP

(d) UTG restored and improved or

(e) no money spent at all

You’ve doubtless encountered that same spectrum of views amongst your constituents.

The question was not a good fit for public sentiment. On the subject of Scottish independence it is claimed that minor syntactical changes could be worth a swing of 15%. While it’s debatable whether that figure is accurate, there’s no doubt that choice of wording does exert significant influence. In this case it’s not inconceivable that it exerted enough influence to alter the outcome.

The second issue concerns the fairness of the PR spend. The original consultation process was entirely about The City Garden Project. The design contest was also wholly about the CGP. Both of those exercises were orchestrated by a PR company. There’s also the whole controversy surrounding the ‘unregistered CGP campaign group'(?) who leafleted every home in the city.

Taking everything into account it’s clear that there was a substantial disparity in PR spend, and that is simply not fair. The problem with this is that it gives the wealthy and powerful the impression that PR companies can engineer referendums to produce specific outcomes, and that it boils down to a matter of risk vs. reward. Allowing that to pass without comment introduces a dangerous precedent.

Finally there is the issue around the integrity of the result. The Returning Officer has not permitted anyone to examine the marked register. While that position may comply with the specific lettering of ‘a law’, it certainly does not adhere to the spirit of The Law. This is extremely pertinent as the result was close and there is considerable contention surrounding various aspects of the voting.

For those reasons I’d like to make two basic points surrounding the referendum on The City Garden Project:

1) A referendum was not appropriate in this instance.

2) A poorly fitting, badly worded question and one-sided PR spend, resulted in an outcome that was far from conclusive.

Based on the above, and also taking into account questions over the integrity of the vote, it is clear that the course of this referendum was perverted. In my opinion, the closeness of the result, combined with disagreement over what constitutes conclusive, and the questions surrounding it’s integrity, effectively render the outcome of the referendum invalid…

…however from the result it can be inferred that the public are in favour of improving the gardens – just as they are generally in favour of regenerating the rest of the city centre, but we didn’t really need a referendum to discern that truth.

What I’m asking you to do, is to set aside the outcome of this disastrous referendum when you vote on the future of Union Terrace Gardens, and instead vote for whatever you believe is both right for this city, and truly representative of what people want. That’s why we elected you.

Walk in the Light
Craig Adams

Apr 062012
 

A report on the UTG referendum was discussed at a meeting of full council on Wednesday with a view to it being approved before being sent to the Scottish Government. Friends of Union Terrace Gardens chairman Mike Shepherd was permitted to give a deputation. Aberden voice presents Mike’s deputation in full.

“I was allowed to give a deputation here in January when I said that the FoUTG would agree to take part in a referendum if it was fair.

We agreed to the referendum in spite of the shameful behaviour of this council in ignoring the result of the public consultation two years ago. We agreed for two reasons.

First, we saw the CGP as a juggernaut pushed through relentlessly by business and a friendly council. There were only two options to stop this; either through the referendum or legal action. We chose the referendum.

Secondly, we chose this route through public spirit. We were only too aware of the poisonous attitudes building on both sides of the issue. Aberdeen was at war with itself. A fair referendum was the only way of killing this beast.

I also told the council that the referendum would have to be fair because implicit in taking part was that we accepted the final result, whatever it was. This was said in good faith.

THIS WAS NOT A FAIR REFERENDUM!

We do not accept the result. The process was flawed. Internet and phone voting should not have been allowed as without signatures, this was open to fraud. The Green party have also asked me to complain about their shortened message in the information pack that was sent out.

The City Garden Project supporters were allowed to spend tens of thousands of pounds on PR, newspapers, leaflets and radio ads. This money spent on advertising bought a marginal result for the referendum.

The ads were often misleading and in some instances blatantly so. We were told of a bogus £182M investment, consisting of a bogus £15M of private investment and a bogus £20M Art Gallery grant which didn’t exist. One misleading ad is under investigation by the Advertising Standards Authority.

This council also misled the public. The claim that a new park could create 6,500 jobs was utterly ludicrous. They did not explain the risks of borrowing through TIF properly, even when Audit Scotland expressed their concerns about the long term implications for the Council’s finances.

You are £618M in debt, you cannot afford the risk on further borrowing.

The council were partial to one side of the referendum. The ACGT were allowed to show a video in the Art Gallery, council property, yet we were excluded until after several days of complaint on the matter.

This was a dishonest referendum. The public were misled right up the City Garden path. The council should vote to ignore the result. Furthermore, this report should not be passed onto the Scottish Government as suggested. The proposal to spend valuable investment and infrastructure money on something as trivial as a new park is a disgrace.

We do not accept the result of the referendum and we intend to carry on campaigning to save Union Terrace Gardens. Thank you.”

Evening Express report here.  http://www.eveningexpress.co.uk/Article.aspx

Mar 152012
 

With thanks to Suzanne Kelly.

A new cloud covers the controversial Union Terrace Gardens Referendum today, as a care home worker came forward with concerns about postal votes sent to a residential home.

The worker, who wishes to remain anonymous, approached Aberdeen Voice to say that over a dozen postal vote envelopes arrived at one residential home – but when the worker went to retrieve them a short time later – they were not where they had been left. No one at the residence seemed to know precisely what became of them.   The concern is whether or not the residents’ votes were properly distributed and managed.  The matter is still being looked into, and no allegation of wrong-doing has been made at this stage.

Aberdeen Voice’s Suzanne Kelly is researching further, and contacted the elections officer, and the other recognised campaigning organisations on the issue.

Kelly asked the elections officer for the marked Register to be checked with a view to how many care home residents returned votes, and whether there are any unusual voting patterns.  However, the elections officer’s position is that “it would be illegal for me to provide this in terms of the Representation of the People(Scotland) Regulations 2001.”  In an election relevant parties would normally  be able to view the marked Register.

Crawford Langley, the Elections Officer for the Union Terrace Gardens referendum vote, previously contacted the police over potential postal vote fraud in May 2005 when he was elections officer and a small number (between 6 and 12) of anomalies arose, where people appeared not to have received their postal vote forms.

Langley was quoted at the time as saying:

“We are talking about a very small number but, given the publicity elsewhere and the tight ship we run in elections in Aberdeen, it was sufficiently unusual that I needed to do something about it.”

The controversial referendum, which was over the future of Aberdeen’s Victorian Union Terrace Gardens, gave residents a choice to either ‘retain’ the gardens, or to endorse a £140 million pound scheme called the Granite Web. This entails the city obtaining a £70 million pound TIF loan, which will be matched by Sir Ian Wood / The Wood Family Trust (£50 million), £5 million from an anonymous donor, and another £15 from as-yet unnamed private sources. The TIF scheme is still in trial stages in Scotland.

many feel the media bombardment influenced the vote

The referendum was dogged by controversy. Official campaigning groups were entitled to place a 300 word essay into the voting pack, and had to adhere to strict expenditure limits.

The Green Party’s statement was not printed in full. Also controversial were the actions of a ‘secretive’ group (as described by a BiG Partnership employee) known as ‘Vote for the City Gardens Project.’ This federation of businessmen and women, who prefer to remain anonymous, are thought to have spent tens of thousand of pounds to promote the City Garden Project Granite Web.

Their glossy, A3 full colour brochure went to households in Aberdeenshire which were not eligible to vote as well as to City residents. The group also issued a four-page newspaper format item, and had several full-page spreads in the local press. Local radio stations broadcast pro City Garden Project commercials. None of the officially recognised campaigning groups would have been able to afford such a campaign, and many feel the media bombardment influenced the vote.

The materials produced by the group used projections by PriceWaterhouse Coopers to claim the scheme would create over 6,500 permanent jobs and mean £122 million to the local economy every year until 2023. Those who tried to contest these projections being used as fact found that the Vote for the City Gardens Project group was not accountable either to the elections officer or the Advertising Standards Agency. Other points of contention have been brought to the election officer’s notice as well.

Willie Young of the Labour Party, who were an official campaigning organisation, had this to say:

“We really do need to see the mark register so we can prove to ourselves that the referendum was run correctly. In a democracy we need checks and balances and the Electoral Commission is clear that those involved in an election should be given access to the mark register. I am not suggesting anything is untoward, but it is our right to make sure that it isn’t. We are baffled by the stance taken by the counting officer”.

Suzanne Kelly commented:

“It is abundantly clear to me why my source wishes to stay anonymous. They are keen to continue in the job they love, and are all too aware of what can happen to a whistle-blower. This issue is still being investigated, but I thought bringing it to the election officer’s attention immediately was the right thing to do.  This is why we need to check the votes sent to all of our residential care homes – we must ensure no one has been exploited and no votes have gone astray. Were all the votes sent to the homes used, and if not, what percentage went unused? Did the vote split at the residential homes echo the nearly 50–50 split the total vote saw? If not, then further research will be needed.

There is at present no allegation of any wrong doing by any individual – but it is clear that we need to have the transparency we were always promised concerning Union Terrace Gardens, but which we so sadly lacked. We’ve seen redacted minutes – minutes where lines of text have been ‘blacked out’ to keep the public in the dark. Why should there be any secrecy over what is common good land?”

Kelly was chair of one of the recognised campaigning organisations (‘Democracy Watch’) and has been liaising with other campaigners; a number of issues remain over the referendum, and these will be reviewed soon.

Mar 092012
 

The black calendar of Aberdeen’s civic history has a new entry: 2nd March 2012, the day that its citizens, evident sufferers of apathy and myopia, handed both its natural heritage and its economic future to a cabal of businessmen.  Arthur Taylor writes.

The fight to retain and improve Union Terrace Gardens hit the buffers on that day when the public – or rather 27.5% of them – voted to support the plans to destroy this unique piece of the city’s heritage and replace it with a concrete monstrosity – presumably confused by the smoke and mirrors of the PR campaign which branded it “The Granite Web”.

Whether the battle turns into a war, protracting the debate, and driving further wedges between parties already badly divided, remains to be seen, but it is hard to see a rapid healing of the wounds that this process has created.

It is also difficult to stop the passion that fuelled the Retain campaign from dissipating, before all avenues of challenge are exhausted against a process labelled as democratic – but which in reality has been anything but that.

What is clear is that events from 2008 to now should be reviewed and recorded for posterity, so that future generations when looking back can seek to understand a number of things:

  • why we allowed our heritage to be given away to a clique of egoists and nepotists, who deluded the public and maybe even themselves into believing that they were altruists and philanthropists
  • why the local authority whose primary function is to act in the citizenry’s best interest handed control to an unelected quango, immune from public scrutiny
  • and why we allowed the city’s future to be mortgaged on the most questionable of business cases, flagged up as high risk by Audit Scotland in the final days of the campaign – when most votes were already cast.

Not that this was a revelation: Friends of Union Terrace Gardens had identified the risk months before, but their claims were played down in the media.

The last two months have seen a referendum conducted by a returning officer who sought to have the campaigns run to a fair set of rules.

The dominance of the local print media in forming and steering public opinion, and its incestuous relationship with local business, is deeply concerning.

While it appears that the retain groups stayed within their £8000 budgets, the pro groups – aided and abetted by the collaborators in the local media – spent an estimated £1,000,000 to buy the votes of the people of Aberdeen. Their cynical campaign saw radio adverts dressed as public information broadcasts, and a drip-fed daily editorial in the local press, with each day’s evening paper offering more extravagant promises than the last, as part of a fawning hysterical clamour.

That the retain groups, variously composed primarily of grey-haired men, beardies, tree-huggers and an enthusiastic schoolboy, ran the referendum right to the wire, losing by such a slender margin, is testament to their energy, enthusiasm and resourcefulness. That they did this against a campaign co-ordinated by the BIG Partnership, Scotland’s largest PR agency, is little short of a miracle.

The dominance of the local print media in forming and steering public opinion, and its incestuous relationship with local business, is deeply concerning.

The public need a source of true facts rather than propaganda dressed as objective reporting.

That said, there have been two positives to emerge from the press coverage of the campaign: the amusement derived from watching the Evening Express contorting itself like an India-rubber prostitute in a bid to champion the development, while not entirely abandoning its habitual council-baiting; and the emergence of the STV Local site as a place where all parties can present their voice without editorial bias.

It is hard not to see the future of local journalism as lying in hyper-local online spaces, as counterpoint to the shrinking of print to the point of complete insignificance.

the dead-eyed, gape-mouthed novelty-seekers who lurch zombie-like through the malls

Returning to the proposed development itself, it should be remembered that Union Terrace Gardens is the only part of the city where one can see the original topography of the land on which the city is built.

Sadly the local authority in the last century has allowed almost all traces of the city’s history to be erased like some embarrassing legacy instead of retaining and celebrating its character. Compare this with Edinburgh’s old town or York’s centre.

We are now confronted by the effacement of the final part of our history in order to satisfy the dead-eyed, gape-mouthed novelty-seekers who lurch zombie-like through the malls that have brought about the systematic homogenisation of the city centre and obliterated all individuality and character.

If we do not continue to challenge this proposed act of civic vandalism, by:

  • opposing the planning application,
  • challenging the use of Common Good land,
  • exposing the business case as one which will leave the city bankrupt (as it was last in1817)  when the TIF scheme plays out as feared,

then we should at least ensure that we record for posterity the names of the businessmen who proposed this vanity project; note the politicians and faceless unelected quango-ists who eased its path to realisation; and ponder the many, many idiotic consumers who swallowed the hype, without challenge or analysis.

If we do nothing else, we should record those names on the black calendar’s page for 2nd March 2012.

Feb 292012
 

Shakhaf Barak wrote to a friend highlighting the history behind the current referendum that is dividing the city. He has kindly allowed Voice to use it, almost verbatim as the deadline approaches for voting.

Dear Friend,
Here in Aberdeen there is a bitter referendum taking place, and it could go either way. Over 70,000 people have voted thus far, in a city of barely 212,000 souls, and both sides have reported each other to the police. Central to this story is a 250-year old city centre park, Union Terrace Gardens, and the billionaire oil tycoon seeking to redevelop it.

Union Terrace Gardens are similar to Edinburgh’s Princes Street Gardens, lying in the natural amphitheatre of the Denburn valley, the Denburn being a stream which flows right through the city, underground where it borders the Gardens. Much of Aberdeen’s best architecture was clearly envisaged to overlook this area.

The Gardens are home to a cluster of 260-year old elms trees that once formed part of the Corbie Haugh, a historic wood which ran through the valley. This is among the largest concentration of healthy mature elm trees in Europe, and they are reputed to have escaped Dutch Elm Disease, not only due to their isolation, but also because the pollution of the city has afforded some sort of protection from it.

Both the park and its beautiful Victorian toilets are Grade A-listed, and all of the trees are under preservation orders. Up until as late as 2003, the Gardens formed the centrepiece of Aberdeen’s Britain In Bloom entry, and they were truly stunning, but since then expenditure has all but ceased, and the toilets have been closed for several years.

In 2008 a local arts organisation, Peacock Visual Arts (PVA) was granted planning permission for an award-winning and sympathetically-designed arts centre to be built into the hillside of the Gardens. This would have meant felling a small number of trees but none of the elms. The design was universally acclaimed and it was hoped that this scheme would help regenerate interest in the Gardens.

Enter Sir Ian Wood, one of Scotland’s richest men, and chief of Wood Group PSN. Sir Ian decided that he’d like to redevelop the Gardens by building a five-storey bunker in their place, whilst covering over the adjoining railway line and urban dual carriageway, with the entire roof of this construction forming a flat civic square at street level. It was not entirely clear what would be installed in the bunker, although speculation was rife to say the least.

He offered the council £50m towards the cost of this project, which was mooted to cost £140m. This was possibly an optimistic figure since Union Square, a similarly sized shopping mall with none of the technical difficulties or prior excavation work, cost £250m to build. The council felt this offer was too good to refuse, but the some members of the public were up in arms.

Sir Ian decided to put the proposal out to public consultation and promised to walk away should the public reject it.

The ‘consultation’ was commissioned by Aberdeen City and Shire Economic Future (ACSEF), a publicly-funded unelected QUANGO, and conducted by The BiG Partnership, Scotland’s largest PR company.

It many ways it resembled a marketing exercise. The bulk of participation was via a website, which asked several questions with a somewhat loaded feel to them. For technical reasons, the question on whether or not to proceed with the plan defaulted to a YES vote.

If, during completion of the questionnaire, any previously-given responses were subsequently amended, this again defaulted back to a YES vote. When the results were released, it became apparent from the comments sections that may people who had intended voting NO had instead been recorded as YES voters.

Over 10,000 people participated in the consultation, and In spite of it’s technical oversights, the public voted against the Civic Square proposal by 54%-46%, a healthy and significant majority. However the PR machine kicked in and somehow spun that the 202,000 people who had not participated possibly represented a silent majority in favour of this scheme.

  Critics described it as a cross between Tellytubby Land and a skate park

Sir Ian decided not to walk away, and the project went to a council vote. The council voted in favour of taking the plan forward at the expense of PVA who by that time had 80% of their £20m funding in place. It has subsequently been alleged that some of the PVA funding was diverted into the new project.

The BiG Partnership now re-launched the plans under a new name, The City Garden Project (CGP). It was claimed that the outcome of the public consultation was that the public were broadly in favour of a garden as opposed to a civic square. Any implication that they were actually in favour of preserving the existing gardens was ignored.

The interested parties now felt that the best option was to redevelop the Gardens by building a five-storey bunker in their place whilst covering over the adjoining railway line and urban dual carriageway, with the entire roof of this construction forming a new garden at street level.

The whole thing had an air of déjà vu.

This time it was decided to hold an international design contest, paid for with public money. Six designs were shortlisted from hundreds of entrants. One, The Granite Web, bore a striking resemblance to Civic Square concept, albeit with less concrete and more greenery. Critics described it as a cross between Tellytubby Land and a skate park.

The local press heavily promoted the Granite Web design from the outset of the contest, leading with it on their front page and providing it with more photo coverage than the other designs. It was almost as though it had been ordained.

The public voted, and spoiled ballots aside, all indications were that The Winter Garden design proved the most popular. An independent poll confirmed this and put The Monolith in second place.

Tellingly both of these designs retained much of the topology of the existing Gardens. Word on the street was that The Granite Web was not a popular choice, but we’ll never know for sure, because a decision was taken not to release the results of the so-called public vote to the public.

It was then announced that the winner of the private-public vote would be put forward to the selection panel, along with another design. The self-appointed selection panel consisted of Sir Ian, some other influential people from the oil industry, an architectural consultant on the project payroll, and a councillor who backed the project.

The two designs discussed were the acknowledged public favourite, The Winter Garden, and you’ve guessed it, the joker in the pack, The Granite Web. When the panel announced the result, it should have come as no surprise to anyone that they had chosen The Granite Web, yet there was a shocked silence, and even those had come out in favour of the redevelopment initially appeared bemused if not downright confused.

The original Civic Square was mooted to cost £140m, with £50m coming from Sir Ian, £20m from the private sector, and the rest to be borrowed through a Tax Incremental Funding (TIF) scheme. Any over-run would be covered by the council (read local taxpayer) .

Only £5m of the private sector contribution has materialised thus far, but there has been an announcement that The Granite Web would be significantly less expensive to build than the previously-envisaged, but somewhat less complex, civic square. Sir Ian has offered to personally fund up to £35M of any cost over runs, should they occur.

The TIF proposal cheerfully bends all the guidelines of TIF funding. TIF is intended to be used to redevelop brownfield sites, with the loan being repaid over a 25 year period through increased rates recouped from any businesses setting up in the redeveloped area. The city council had already approved planning permission for two new industrial estates on the outskirts of town, under the business case for the TIF funding, these new estates become part of the TIF zone, so in The Granite Web’s case, sections of the TIF zone are located several miles away from the actual redeveloped area.

The predictions are for 6,500 jobs and £122m annual revenue to the local economy, all based on the new industrial estates, which have no obvious linkage to The Granite Web, operating at full capacity. Even if one were to accept that any new jobs could be somehow attributed to The Granite Web, the figure of 6,500 seems unlikely given that the London Olympics is only projected to create 3,500 jobs.

Either way, the setup feels a bit shaky; the truth is that these jobs and their associated revenue will accrue with or without The Granite Web.

By this time, councillors seemed to be getting edgy and unwilling to green-light the project, so they decided to hold a public referendum. Any group wishing to campaign was required to adhere to an £8,000 spending limit, and for this they were provided with 300 words of text in the voting pack.

The packs went out, but unfortunately some of the Retain lobby’s statements were mangled due to a ‘computer error’. The voting packs were closely followed by a big money public relations mail bombing campaign by The BiG Partnership promoting The Granite Web. Publicity materials went through every letter box, pro Granite Web articles dominated the press, and adverts were played around the clock on the local radio stations.

Apparently this expenditure was permitted by virtue of being funded by an ‘unregistered’, and as yet anonymous, campaign group – whatever that means! I guess it’s a bit like not having to pay tax because your parents never applied for a birth certificate, who knows? By this point, things were becoming surreal to say the least.

The referendum closes on 1 March and it’s a bitter fight that has divided the city. For example, an oil company boss has made a complaint to the police alleging mail hacking and cyber bullying. The police claim they are taking this allegation seriously. There have also been two arrests possibly related to claims of vote-rigging, but ultimately no one was charged.

The town has gone berserk and it’s civil war all over Facebook. It’s as if we’re all experiencing a really, really bad shared dream. I just dread to think what we’ll all be waking up to on Saturday morning.

Feb 242012
 

Peter Veritas makes the case for voting “Retain”.

1.  There is a very real danger that the City Garden Project will bankrupt Aberdeen.

The City Garden Project (CGP) is planned for a greenfield site which would require substantial excavation. It is a five acre, five storey, underground construction that would span both a main road and a railway track

It’s roof would be required to hold approximately ninety thousand tons of topsoil, the same weight as the worlds largest aircraft carrier.  It is projected to cost £140M.

Union Square, which is of a similar size, was built on a flat brownfield site with good access. The final cost was £250m.

Marischal College is a much smaller existing building that was recently renovated.  No major construction was performed.  The final cost came to £65M.

Given that context, how can we be expected the believe the estimate for The City Garden Project is realistic? Should the City Garden Project experience a similar scale of overspend to the Scottish Parliament Building or the Edinburgh trams, then the shortfall could conceivably be of the order of £360M.  The city, which is already £560M in debt, would be liable for this overspend.

It could not be rolled up into the existing loan, and would require immediate payment.  Failure to cover the overspend would result in us being left with a dirty hole in our city centre.  The only options open to the council would be to auction off it’s remaining assets, such as the other parks, to property developers, and to increase council tax  massively.  Public services which have already suffered severe cuts would be totally decimated.

2.  Aberdeen has suffered badly from previous developments.

St Nicholas House, the New Market, The Denburn dual carriageway, the Denburn Health Centre, The St Nicholas Centre, and Virginia Street are all universally acknowledged as failures that now blight our urban landscape.  Aberdeen lost many beautiful buildings to clear the way for those developments.

The people who campaigned against those architectural and planning atrocities are also campaigning against The City Garden Project.  They’ve been proven right time and time again. Perhaps it’s time we listened to them?

3.  We already voted against this Project under a different name.

There is something sinister about the City Garden Project.  It was originally conceived as the City Square Project (CSP), and envisioned as a five acre flat concrete piazza.  That proposal only emerged after Peacock Visual Arts were given planning permission to embed an unobtrusive arts centre into the hillside of Union Terrace Gardens.  Sir Ian Wood pledged £50M to build The City Square, but promised to scrap the Project if the public rejected it.

That was then put out to a flawed public consultation, in which the public voted against by a substantial majority, despite the online survey mysteriously defaulting to a “yes” vote.  Sir Ian then reneged on his promise and continued to push the concept, the council ran roughshod over the electorate, and by the casting vote of the Lord Provost, consigned the Peacock plan to the dustbin.

Sir Ian has consistently stated that he will only contribute his £50M to this particular proposal and nothing else, and that if we reject his proposal then he will divert the money to Africa.  His behaviour is baffling.

4.  There has been an air of deception around The City Garden Project.

The City Square Project was rebranded as The City Garden Project.  During the Project’s second coming the public were presented with six designs and invited to vote on them. None Of The Above was not a option.

Aesthetically, the public appeared to favour the Winter Garden design.  From a conceptual perspective The Monolith design was arguably the most cohesive.
The appointed panel then refused to release the outcome of this public vote and instead selected The Granite Web, a design for which very few people acknowledge having voted, and which many people considered to have been among the weakest.

CGP propaganda has continually claimed that Union Terrace Gardens are a dangerous place, but Grampian Police crime figures reveal that they are actually among the safest places in the city centre. Neighbouring Belmont Street, which the plans propose to connect to the Granite Web, is statistically the worst area for street crime.

Under the rules of the referendum, registered campaign groups are limited to £8k spending to maintain a level playing field.  However a mysterious group of anonymous business people has allegedly ploughed £50K into sending pro-CGP propaganda to every home in Aberdeen City.  This is not within the spirit of the referendum and is arguably a breach of the rules.

It has been claimed numerous times that the 250 year old elm trees in Union Terrace Gardens are diseased, but a recent report by a tree surgeon has given them a completely clean bill of heath.  These elms are among the last surviving in Europe, and they flourish both due to their isolation from other elms, and because the pollution of the city prevents Dutch Elm disease from spreading to them.  These trees are all covered by a preservation order.

5.  Those arguing in favour of the City Garden Project are mostly connected to it in some way.

Scotland’s top public relations firm were engaged to promote the Project, which may be why the majority of stories that have appeared in the local press have been fawningly in favour of the CGP.

Those who have argued the merits of the Project, both in the press and on-line, are interconnected people with an as-yet unknown agenda.

In addition to the numerous PR professionals being paid thousands of pounds each day to present the case, there are several property developers, the owners of assorted the premises on Union Street, and various oil company executives.

No fewer than three city councillors, who backed the Project, recently announced that they intend to stand down, and have also revealed that they are planning to leave the city.  Virtually all of those involved are members of Acsef, Scottish Enterprise, the Institute of Directors, and The Chamber of Commerce.  The same dozen people feature time and time again in the groups which have come out publicly in favour of the Project.  The same people wearing different hats.

6.  The economics have no basis in fact.

Tax Incremental Funding (TIF) is intended to fund the redevelopment of brownfield sites.  Businesses which later setup in and around those sites pay increased business rates which repay the cost of the development in a similar manner to a mortgage.  The business case for this Project bends the rules since the increased rates will not be gathered for the site itself, but from two new industrial estates, located several miles away and for which planning permission has already been granted.

The 6,500 jobs and £122M of projected annual revenue are a product of these new industrial estates working at full capacity. This is almost  guaranteed to occur anyway without The Granite Web.

Furthermore, the paid author of the reports is PricewaterhouseCoopers (PWC), which has recently been fined £1.4m for audit failure.  PWC rates the TIF case at Risk Level 3, where 4 is the highest risk.

7.  To save the architecture of the Denburn Valley

None of the Granite Web mockups, artists impressions, or video, have addressed the issue of the rear elevation of Belmont Street.

This is home to some of Aberdeen’s most spectacular architecture, descending right down to the level of Denburn Road.  Architecture which will be obliterated when the CGP connects to it, some five storeys further up.

Most of these buildings are either local businesses or publicly owned concerns, and several of them have picturesque balconies below the finished level of The Granite Web.

8.  To retain our sheltered park.

Union Terrace Gardens lie in the Denburn Valley which offers shelter from the wind and urban pollution.  Raising the area up to street level would turn it into a wind trap.

The wind would howl round the concrete walkways and other architectural features of the granite web, plants would struggle to survive, and people would avoid the area, preferring instead to travel along the relatively sheltered confines of nearby streets. It’s a fallacy to claim that this development would enhance connectivity.

9.  Union Terrace Gardens have been cynically starved of funding – in order to ‘pave the way’ for this redevelopment.

Union Terrace Gardens was the centre piece of Aberdeen’s famous successes in the Britain in Bloom contest.  Over the course of the past eight years the council has cut funding, with the result that the Gardens are no longer maintained at previous award-winning levels

The beautiful Grade A listed public toilets were closed, the famous giant draught boards were ripped out, the winter skating rink was no longer installed and concerts and other public events were discontinued

A modest investment would both regenerate the Gardens, and improve access to them.  There is no need to risk bankrupting the city for what amounts to no additional benefit

10.  The curse of Corbie Haugh.

Back in the seventeenth century, the area where the Gardens now stand was a wood called Corbie Haugh. The ancient Scots word for crow is corbie and the wood was named after the crows which gathered in the grassy valley and within the bank of elm trees. The elm trees in the Gardens date back over 250 years to that eighteenth century wood.

An ancient legend, The Curse of Corbie Haugh, holds that when the crows depart, the city will be ruined. If the elms are chopped down, the crows will indeed depart, and if they city ends up burdened by an additional £360m of debt, then it shall indeed be ruined!

SAVE OUR CITY FROM DISASTER BY VOTING TO RETAIN UNION TERRACE GARDENS.

 

Feb 242012
 

By Mike Shepherd.

The polling cards are out for the Union Terrace Gardens referendum and you have until March 1 to vote. The hype means you’ll have been bombarded with leaflets, pamphlets, news items and radio adverts.
If ‘connectivity’, a ‘21st century contemporary garden’, or ‘street-level access’ are key factors in deciding your vote, look no further; vote for the City Garden Project.

If you are undecided or swithering then read these very good reasons for voting to retain Union Terrace Gardens. 

1. Your vote will preserve the look and feel of the Granite City. Union Terrace Gardens are an integral part of the heritage of Aberdeen. Planned by the same architects who designed the Art Gallery and the frontage of Marischal College, they show an architectural harmony in the city centre which would be destroyed by a modernistic City Garden.

2. Your vote will not result in a ghastly modern structure replacing our park. Although described as the City Garden, it is in fact a mixture of buildings, flyovers, underpasses and parkland. The design has a passing resemblance to 1960s-style new town architecture. At one public meeting, someone said that the underpasses in particular were likely to end up as urban no-go areas. I have even heard a supporter of the scheme conceding that it will look dated after about five to ten years.

3. Your vote will stop a multitude of new glass box office blocks being built in the city centre. Council documents show that consideration has been given to plans to build a central business district in the city centre and encourage office block construction. The building of the City Garden Project, “will encourage development in the city centre sooner, and on a bigger scale, than might otherwise be the case without public investment in enabling infrastructure.”

4. Your vote will improve our much-loved park. Jimmy Milne, oilman and MD of Balmoral Group, has said:

“I and many of my business contemporaries, are committed to establishing a fund which will help bring the gardens back to their former glory. Without destroying our heritage, and without putting Aberdeen City further into debt, it would not be difficult to breathe fresh life into the park. Improved access, new planting, cleaning and restoration, park wardens and live events could all be relatively easily and cost effectively achieved.”

5. Your vote will ensure that the mature trees in Union Terrace Gardens will be saved. All 77 trees will be kept, including the twelve elms, some of which are at least 200 years old.

6. Your vote will stop our Council borrowing £70m they can’t afford. Aberdeen City Council, £562m in debt, is being asked to borrow £70m through a risky tax scheme to help fund the City Garden Project. If there is insufficient money to pay back the loan, Council funds will be required to service it.

7. Your vote will avoid significant disruption and pollution in the city centre for the near three years it will take to build the scheme. The technical feasibility study for the project estimates that the equivalent of 3,947 dump trucks of earth and 4,605 dump trucks of granite will be excavated from the Gardens causing ‘large environmental impacts from noise, transport, dust and energy use.’

8. Your vote will avoid the major traffic problems caused by the movement of heavy lifting equipment, dumper trucks and lorries in and out of the city centre. It is estimated that the City Garden will take almost three years to build. It is likely that there will be major traffic problems in the city for much of this time. City centre business will be impacted by this and may never recover.

9. Your vote will avoid much, if not all, of the Council’s cultural activities being displaced to the underground building in the City Garden. The council funds institutions occupying cosy, intimate venues such as the Music Hall, Lemon Tree and Belmont Cinema. A review of council-funded cultural activities will be made with a view to possible relocation to the underground concourse.

10. Your vote will avoid any consideration that the future of the HM Theatre could be in doubt. Two major performance venues will be built in the City Garden only yards from HM Theatre. Councillors have asked if this will have an impact on the future of HM Theatre. No specific assurances have been given.

Aberdeen could change forever if the City Garden is built, and probably not for the better.

We have the chance to keep the leafy, green heart of the Granite City. 

VOTE: RETAIN UNION TERRACE GARDENS