MINUTES OF THE BOARD MEETING HELD ON FRIDAY,
18th July  2003 HELD AT RENAISSANCE HOUSE, WARRINGTON

Present:  Bryan Gray Neville Chamberlain John Dunning Prof. Sir Martin Harris Rob Johnston Pauleen Lane Richard Leese Alan Manning Dennis Mendoros Anil Ruia Brenda Smith Marie Rimmer Maureen Williams

Also Present:  Mark Gibson, Director General, Business Group, DTI Keith Barnes, Regional Director GONW Mike Shields Steve Broomhead Nick Gerrard Geoff Parker (Item 48/05)  Peter White (Item 48/08) Helen France (Items 48/09 & 48/10) John Burrows(Items 48/11 to 48/13) Dr George Baxter (Items 48/11 to 48/13)

The Chairman welcomed Mark Gibson of the DTI and Keith Barnes of GONW to the meeting

48/01 APOLOGIES FOR ABSENCE

  Clive Jeanes, Mike Storey
 
48/02 MINUTES OF THE MEETING HELD ON 13 JUNE 2003
 
 The minutes of the last meeting were approved as a correct record.
 
48/03 MATTERS ARISING AND ACTION POINTS
 
 With reference to Minute 46/14 regarding Project Unity, Martin Harris confirmed that there had been an overwhelming vote in favour of the merger at the University Court (121:18), clearing the way for the merger to go to the Privy Council for the appropriate Act of Parliament.

With reference to minute 47/11 regarding the Urban Regeneration Sub Group, Pauleen Lane confirmed that she had met with the team and that the reclamation strategy was agreed in principle.  More emphasis needed to be given to higher profile gateway sites. 

There were no further matters arising and the Action Points from previous meetings were noted.
 
48/04 CHIEF EXECUTIVE’S REPORT

 The report from the Chief Executive, NWDA/48/04, covered the following issues:-

(a) Regional Selective Assistance

The Board agreed the basis of NWDA’s response to the NAO Report via the lead RDA as set out in the Report with the inclusion of additional points relating to the need for the DTI to respond with alacrity to larger applications; that RSA should have greater flexibility in that it should not be restricted just to grants, but also to other forms of financial assistance; that consideration should be given to making indicative grant offers; and that RDAs should be given greater representation on the Industrial Development Board.

ACTION: Chief Executive to contribute to RDA collective response on the basis set out above.

(b) Alliance for Skills and Productivity

The Board noted the progress that was being made on this key project with the launch of the Strategic Plan on 9 July 2003.

(c) Project Unity

Sir Martin Harris declared an interest in this item.  The Board noted that the Agency had now received full approval to invest up to £35M in this important project from CPRG and the Treasury.

(d) Housing Stock Transfer, East Manchester

Richard Leese declared an interest in this item.  The Board endorsed the decision of the Chairman and Chief Executive to fund £8.932M via SRB for the transfer of the ownership and management of 2,899 council owned homes to Eastland Homes subject to Central Project Review Group approval.

(e) Acquisition of Deanbank Land (Emerson Holdings), Rochdale, Kingsway

The Board noted the successful land acquisition and congratulated staff that had been involved.

(f) Manchester Science & Enterprise Centre (MSEC)

Neville Chamberlain declared an interest in this item.  The Board noted the position set out in the report and endorsed the strong ‘in principle’ support to extending the MSEC activity region wide.

(g) Liverpool Waterfront

i) The Fourth Grace: The Board noted that they would receive a full report at the October meeting once further progress had been made on developing the public sector content of this key project, the significance of which had been emphasised as a result of Liverpool securing the Capital of Culture decision.

ii) Kings Dock: The Board noted that they would receive a further report by the end of 2003 which would address a variety of detailed points made by the Board and set in context the potential contribution to be made by the Agency to this project.

(h) NWDA – Review of Structure

The Board noted the re-organisation of the Agency announced by the Chief Executive Designate on 4 July, the position with regard to the appointment of new Executive Directors.
 
48/05 FINANCE DIRECTOR’S REPORT

 The Board noted – the level of activity in June and that gross expenditure in the quarter was broadly in line with the budget; that the cost of capital had now been reduced from 6% to 3.5%; that the budget for 2003/04 had been re-profiled with 30% of the budget forecast to be spent in the last quarter as compared with 47% last year.

The Board approved the 2003/04 budget as presented to the meeting and requested that further attempts to dampen the amplitude of the budget should be made, particularly with regard to the 2004/05 budget.
 
48/06 PERFORMANCE MONITORING REPORT 2002/03

The Board noted the annual Performance Monitoring Report which had been submitted to GONW according to their format and which would be used as the basis for Ministers to determine the share that the Agency would receive from the RDA Central Performance Fund.

48/07 ELECTED REGIONAL ASSEMBLIES: BOUNDARY COMMITTEE REVIEW

ACTION:  The Board endorsed the principle of the Agency’s proposed response to the review which should emphasise that in formulating proposals, regard should be paid to ensuring that the Region’s Local Authorities had adequate capacity to deliver the Regional Economic Strategy.  A final draft version of the response to be submitted to the September Board meeting to define the criteria relating to capacity, which the Agency would press the Boundary Committee to apply.

48/08 PROJECT ACCESS

Peter White presented the report, and Richard Leese updated the Board on the Infrastructure Sub Group’s deliberations of this major project, including the wide ranging risk assessment that had been undertaken.  In discussion, the Board emphasised the importance that needed to be given to marketing this initiative to ensure uptake of the service once it was available.

ACTION:  The Board endorsed Project Access for submission to the Central Project Review Group and HM Treasury and approved expenditure of up to £31.545M.

48/09 LIVERPOOL DIGITAL

The Chief Executive presented the report, advising of this project to deliver an extensive programme of refurbishment of an existing building and site improvements at the former Marconi site, to enable the development of Liverpool Digital.  As the Report had not been considered by the Business Development Sub Group there were still some outstanding questions of detail which the Board wished to be addressed.

ACTION:  The Board approved the principle of expenditure of £12.946M to deliver the refurbishment and building services rationalisation project and delegated the final decision to the Chairman, Chief Executive and the Chairman of the Business Support Sub Group (Neville Chamberlain).  Approval would be subject to consideration by the Central Project Review Group.

48/10 ROYAL MILLS, ANCOATS, MANCHESTER

The Board approved a total contribution of up to £8.9M towards the refurbishment of these buildings, for submission to the Central Projects Review Group.

48/11 NORTHWEST SCIENCE STRATEGY

Following a presentation by John Burrows, Director of Business Development, on three key issues relating to the future of the North West Science Council, Daresbury Science Park and Regional Government R & D expenditure, a Board discussion took place and:

ACTION:  The Board agreed that consideration should be given to the development of a North West Science Fund to be managed by the North West Science Council to promote scientific excellence in the North West and that consideration should also be given to their role in promoting science and increasing the engagement of less well represented groups, including women and ethnic minorities but with excellence in science being the watch word.  They also agreed that all efforts should be made to accelerate the decision by CCLRC regarding the future of Daresbury Science Park; and that consideration should be given to the establishment of a North West Institute of Science and Engineering, to create a science brand across the North West.
 
48/12 NORTH WEST ENERGY STRATEGY AND ACTION PLAN

Neville Chamberlain declared interests in this item.

ACTION: The Board noted the importance of this subject and endorsed the next steps for the development of the North West Energy Strategy Action Plan as set out in the report, including specifically the establishment of a North West Energy Council.
 
48/13 NATIONAL MICRO SYSTEMS PACKAGING CENTRE

ACTION;  The Board approved the proposed Action Plan, as set out in the report for taking forward the development of this project, including further discussions with the Central Projects Review Group and HM Treasury, with a further report to be received by the Board in January 2004.
48/14 CHAIRMAN’S REPORT

The Board noted the Chairman’s report and resolved to place on record their thanks to Mike Shields for his tremendous commitment and achievement in his time as inaugural Chief Executive of the North West Development Agency.

ACTION:  following the RDA Chairs’ discussion of the Lyons Review, regarding the relocation of Civil Servants from London, a further report is to be presented to the September Board meeting to assess how the North West can benefit from such relocations.

48/15 REPORT OF NWDA SUB GROUPS

Urban Regeneration – Pauleen Lane emphasised the importance of the Agency having a formal engagement with the Liverpool Capital of Culture arrangements.

Rural Regeneration – John Dunning emphasised the massive changes being proposed in the emerging Haskins Report, which would provide a new focus to the rural economy.
48/16 BOARD MEMBERS FEEDBACK

Mark Gibson congratulated the Agency on coming top of the RDAs in the recent MORI poll and emphasised the importance of the Agency ensuring that senior officials in the CBI in London are aware of its findings.

Anil Ruia explained the good progress being made on the TPUK/NWDA joint project regarding the International Trade Centre.

ACTION:  Chief Executive Designate to pursue issues of marketing the International Trade Centre.

48/17 DATE OF NEXT MEETING

September Board meeting will be held over two days, leaving Lancaster University at 4pm on 4 September and returning to Lancaster University at 3pm on 5 September.  The main Board meeting will commence at 11am on 5 September and will be held at Rheged Cumbria.

The meeting finished at 4pm.