For discussion
on 25 November 1998

ITEM FOR PUBLIC WORKS SUBCOMMITTEE OF FINANCE COMMITTEE

HEAD 705 - CIVIL ENGINEERING
Civil Engineering - Land development
441CL - Construction of box culvert along Shung Shun Street, Lei Yue Mun
    Members are invited to recommend to Finance Committee the upgrading of 441CL to Category A at an estimated cost of $30.7 million in money-of-the-day prices.
PROBLEM

We need to construct a box culvert to carry stormwater discharged from the new public housing development under construction at Lei Yue Mun to the open sea to prevent deterioration of the water quality in the Sam Ka Tsuen typhoon shelter.

PROPOSAL

2. The Director of Civil Engineering (DCE), with the support of the Secretary for Works, proposes to upgrade 441CL to Category A at an estimated cost of $30.7 million in money-of-the-day (MOD) prices for the construction of a box culvert along Shung Shun Street and Lei Yue Mun Path at Lei Yue Mun to divert the stormwater to the open sea.

PROJECT SCOPE AND NATURE

3. The scope of the project comprises -
  1. construction of a box culvert about 320 metres long along Shung Shun Street and Lei Yue Mun Path;

  2. construction of the associated drains and sewers diversion works; and

  3. reinstatement of affected facilities, including the carriageway, pavement, the associated footpaths and marine landing steps.
JUSTIFICATION

4. Stormwater from the platform of the housing site at Lei Yue Mun and the nearby area is currently discharged into the Sam Ka Tsuen typhoon shelter. When we formed the housing site in September 1998, we connected the site to the existing box culvert. We plan to construct a box culvert along Shung Shun Street and Lei Yue Mun Path to divert the stormwater to the open sea before the intake of population of the housing site in 2001 so as to prevent deterioration of the water quality in the typhoon shelter. This is because the Sam Ka Tsuen typhoon shelter is an enclosed area where sea water is relatively stagnant, it would trap any pollutant from the stormwater outfall. The housing development, when completed, will comprise 2 300 residential flats to accommodate about 8 200 persons. When the scheduled population intake commences in 2001, stormwater from the housing estate will become polluted.

5. During the course of construction of the box culvert, we need to demolish some of the existing facilities along its alignment, such as the carriageway, pavement, footpaths, drains, landing steps etc. to make way for the works. We will reinstate these facilities after completion of the box culvert.

FINANCIAL IMPLICATIONS

6. We estimate the capital cost of the project to be $30.7 million in MOD prices (see paragraph 7 below), made up as follows -

$ million
(a) construction of box culvert20.2
(b) construction of drains and sewers diversion works0.6
(c) reinstatement of affected facilities3.2
(d) Contingencies2.0
______
Sub-total26.0(at December 1997 prices)
(e) Inflation allowance4.7
______
Total30.7(in MOD prices)
______


7. Subject to approval, we will phase the expenditure as follows -

Year $ million
(Dec 1997) 		Price
adjustment
factor 		$ million(MOD)
1999 - 200010.31.1289011.6
2000 - 200113.01.1966315.6
2001 - 20021.71.268432.2
2002 - 20031.01.344541.3
____________
26.030.7
____________


8. We have derived the MOD estimate on the basis of the Government Economist's forecasts of trend labour and construction prices for the period 1999 to 2003. We will tender the proposed works under a fixed-price lump-sum contract because the quantities for the majority of the works are fixed. As the contract period is less than 21 months, the contract will not provide for adjustments to the tender price due to inflation. We will use in-house site staff to supervise the construction works.

9. We estimate the annually recurrent expenditure to be $450,000.

PUBLIC CONSULTATION

10. We presented the whole project which includes the land formation for the supplementary public rental housing site at Lei Yue Mun and the construction of a box culvert along Shung Shun Street to the Housing Committee of the Kwun Tong District Board in January 1996. Members supported the proposal.

11. We gazetted the project under the Roads (Works, Use and Compensation) Ordinance in October 1997. We received no objections.

ENVIRONMENTAL IMPLICATIONS

12. The Director of Environmental Protection completed an Environmental Review for the project in March 1995 and concluded that, in view of the nature and scope of the project, no long term environmental impact is envisaged and no environmental impact assessment is required. For short term impacts, we will implement standard pollution control clauses to control the construction impacts to within established standards and guidelines.

LAND ACQUISITION

13. This project does not require land resumption. However, the Director of Lands will revise the boundary of an adjacent temporary car park, which is leased under a short term tenancy, during the construction period.

BACKGROUND INFORMATION

14. We included 441CL in Category B in August 1995. The project comprises land formation for a supplementary public rental housing site at Lei Yue Mun and the construction of a box culvert along Shung Shun Street.

15. In June 1996, we upgraded part of 441CL to Category A as 468CL for the formation of the housing site at an approved project estimate of $63.5 million. We commenced the land formation contract in December 1996 and completed the works in September 1998. The remaining portion of 441CL retitled "Construction of box culvert along Shung Shun Street, Lei Yue Mun" was retained in Category B.

16. We have substantially completed the detailed design of this part of the project using in-house staff resources. We plan to start the construction of the box culvert in April 1999 for completion by December 2000 to tie in with the population intake of the public housing development at Lei Yue Mun by 2001.

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Works Bureau
November 1998

(PWSC0035/WIN2)