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Minutes of the Board meeting held on
Friday, 9 July 2004 at Renaissance House, Warrington

Present: 
Bryan Gray (Chairman)
Martin Harris
Pauleen Lane
Dennis Mendoros
Marie Rimmer
Anil Ruia
Brenda Smith
Mike Storey
Maureen Williams
Joe Dwek CBE
John Dunning
Robert Johnston
Neville Chamberlain
Dave McCall
Richard Leese 

Also Present: 
Steven Broomhead
Bernice Law (Secretary)
Keith Barnes, GONW 
Ian Haythornthwaite, 59/05, 59/06
Peter White 59/08
Helen France 59/09, 59/10, 59/11
 
59/00 Presentation: Capital of Culture
 Mike Storey and Sir David Henshaw gave a presentation on progress towards Liverpool Capital of Culture 2008.  They emphasised the importance of this as a building block in the recovery and regeneration of Liverpool.    They pointed out that there is no Government funding towards the Capital of Culture, although they are hoping for support from sponsorship partners, the Agency and ERDF.   A Business Plan is in preparation.A top quality team are in place with a global name Artistic Director.The importance of the Capital of Culture to the regional agenda was stressed and Liverpool’s view is they will assist wherever possible to maximise the impact of the run up to 2008 and leave a legacy agenda.  They emphasised a key issue being transportation to and from the region.  They will keep the NWDA Executive and Board fully involved and informed.

59/01 Introduction and apologies for absence
There were no apologies for absence.
 
59/02 Minutes of the meeting held on 4 June 2004
It was agreed that Sub-Group dates would be re-issued to all members of the Board.
 
59/03 Action points from last meeting and matters arising  
It was agreed that the Chief Executive would follow up on the presentation to the Board in June from Sport England North West, by arranging a meeting with Stewart Kellett to look in detail at collaborative and partnership working towards the alignment of the Agencies and SENW activity.

59/04 Chief Executive’s Report
The report from the Chief Executive covered the following issues:-   

a) Grow on space for bio-technology sector
Richard Leese declared an interest in this item and took no part in the discussions.The Chief Executive reported on a meeting with Professor Ferguson to discuss the Agency’s willingness to explore the best way in which it can support the provision of growth space for the biotechnology sector in the region.It was agreed that a mapping exercise would be carried out to ascertain what space the cluster requires, followed by a market test exercise to see if there was private sector interest in providing this space.The Board were anxious that all Partners were kept informed about this issue.It was also agreed that a report should be presented to the October Board on this issue, following consideration by the relevant sub-group.

b) Liverpool School of Tropical Medicine
The Chief Executive reported that the initial appraisal for the Liverpool School of Tropical Medicine proposal had been completed and moved to final appraisal.  It was noted that the Agency are liasing closely with GONW on match funding for this scheme.

c) RES Review and Action Plans
The Board noted that a comprehensive review of the RES progress had been undertaken in the first year 2003/4.  This review included an assessment of achievements against the detailed RES Action Plan.  This record of RES achievement will be placed on the Agency website with appropriate notification to Partners in the region.

The Chief Executive reported that the issue was to improve the Action Plans to focus more directly on achievement as well as strengthening the support of external Partners.  The Board agreed with this way forward.

d) Partial Review of Regional Planning Guidance for the North West (RPG13)
The Chief Executive reported that the Agency had responded to the GONW draft partial review of RPG.  The Agency’s view is that many of the draft policies are over complicated and over long and the document lacks a sense of strategy and priority.  Particularly, it was felt that Transport Strategy would benefit from clearer priorities.

It was noted that RPG13 requires Regional Assemblies and Development Agencies to agree broad locations for the creation of regional parks.  The NWDA has suggested detailed revisions to the draft policy on Regional Parks.The Board noted that at the end of the consultation period on 12 July, an independent panel will conduct a public examination of key issues, however the timetable may be affected by the Northern Way work.  The ODPM has written to the three Northern Regional Assemblies indicating the benefits of early production of the Regional Spatial Strategies (which replace RPG) after the production of the Northern Way report. 

e) Liverpool Digital
The Chief Executive gave an update on the Liverpool Digital project, an innovative direct development by the Agency.  He reported on the current management arrangements.The Board noted that an evaluation report would be completed by the end of December 2004.

f) Higher Education Innovation Fund 2
Pauleen Lane declared an interest in this item and took no part in the discussions. The Board noted that the second round of bidding for HEFCE resources from the Higher Education Innovation Fund had just been completed.  183 bids were considered for £186m of funding.  The result for the North West was disappointing as out of 14 bids totalling £34.9m, the region received an allocation of only £12m.

It was agreed that Sir Martin Harris and the Chief Executive would review the situation for the North West in terms of Agency match funding for successful/unsuccessful bids and report to the Board in the August communication.

g) NW Science Council
The Board noted that a special meeting of the NW Science Council has been scheduled for 23 August 2004 to review the overall NW Science Council Strategy and the membership objectives and priorities of the Council.  The Chief Executive agreed to keep the Board informed of developments.
 
h) Use of Consultants
The Chief Executive reported on the 2003/4 accounts and particularly on the cost of professional fees including the use of consultants.  The Board noted that a procedure was to be introduced to ensure that appointment of consultants is considered by the Chief Executive following a detailed justification from the relevant Executive Director.The Board noted the aim to produce a 10% efficiency saving on this budget.
 
i) Single Programme Performance Standard
The Board received performance information on project appraisal and noted that in the period November 2003 to May 2004, the Agency appraised 59% of projects in five weeks and 63% in eight weeks.It was noted that performance can and will improve.  The Board agreed that monitoring should continue.The performance standard will be included in the Agency’s Corporate Plan 2005/2008.

j) Organisational Review Update
The Chief Executive reported on the process to consider the Agency’s organisational structure to achieve our objectives and meet the Government’s financial efficiencies following the Gershon Report and take account of the Haskins and Lyons Reports.

The review will include:
· A review and clarification of the roles of the Skills Policy and Business Link North West teams.
· A fundamental review of the structure of the Enterprise and Innovation Groups and the Corporate Resources Group.
· A review of the Human Resources function.

The Board noted this and asked the Chief Executive to liaise with Board Members and appropriate sub-groups as the process proceeds.
 
k) Regional Environmental Body

The Board were reminded of discussions in February on the proposal to establish a Regional Environmental Council.  Following feedback from Partners, it was agreed that this would not be pursued at present.Following discussions, however, it was agreed that a sub group of the Agency Board be established to co-ordinate and mainstream environmental work.  It was noted that this could lead to the formation of an Environmental Council at some future date.The Board also agreed that the sub group would invite non Board Members to meetings to speak on particular issues.The proposed terms of reference for this sub group would be presented to the September Board meeting for consideration.
 
l) UK Centre for Enterprise Competition
The Chief Executive reported on the request all RDAs had received from the Chancellor to hold a City of Enterprise Competition entitled “Enterprising Britain”.  Each region would nominate a winner to compete for the national title.The Board noted that the aim of the competition was to recognise and celebrate enterprise achievement.  It was agreed that the Agency would invite all local authorities in the region to submit applications to demonstrate the promotion of enterprise.  A panel, including a representative from the Board, would be put in place to judge applications.  It was noted that the Agency would offer up to £150,000 for the regional winner.
 
m) ICT/Broadband
The Board noted that the Regional ICT Strategy is to be reviewed later this year as the organisational and structural arrangements to deliver it are fragmented and confusing.It was agreed that Joe Dwek would Chair a review group looking at proposals for the organisational and structural arrangements of the region to deliver the ICT strategy in the future.

59/05 FINANCE REPORT 
The Board received the Finance Report.  It showed the Agency’s out turn position for 2003/4 on both revenue and capital expenditure.

The programme expenditure at 31 May 2004 was reported as ahead of forecast, but the Board noted that this was due to expenditure forecast in 2003/4 slipping into 2004/5.
 
59/06 Annual Report and Financial Statements 
The Board received a report from the Audit Committee which had considered, in detail, the Agency’s Annual Report and Financial Statements at its meeting on 24 June 2004.The Chair of the Audit Committee outlined the main conclusions of the Committee which were that the accuracy and effectiveness of the Agency’s systems of internal control and its arrangement for risk management control, governance processes and for securing economy, efficiency and effectiveness (value for money) are all adequate but capable of further improvements by measures already in hand. 

He explained that the Committee had come to this conclusion using reports issued to it and by verbal reassurances given by the Internal Auditors that progress had been made in addressing the internal control issues contained in their reports.The Board unanimously approved this document for transmission to the DTI.
 
59/07 Annual Performance Monitoring Report
The Board received the Annual Performance Monitoring Report for 2003/4, which provided an assessment of the Agency’s performance during the year against a set of criteria determined by the DTI for assessing and comparing the performance of all RDA’s.

The Board noted that the Agency had also published an Annual Review of its achievements.  The Board were very pleased with the Agency’s achievements this year and asked that these be publicised.

59/08 Environmental audit summary report
The Board noted the good progress made against the recommendations of the environmental audit report for 2003/4 and the implementation of the British Standard BS8555 phased approach to developing an environmental management system.

The Chief Executive pointed out that greater emphasis is now required to mainstream environmental and sustainable development into the Agency’s policies and processes.The Board also noted that an independent external assessment on the Agency’s progress against BS8555 was carried out by Groundwork in May 2004, which concluded that the Agency had made a very encouraging start.  A similar audit will take place every two years.

59/09 Kings Waterfront
The Board noted that the Kings Waterfront Scheme was one of the top priorities for Liverpool Vision, with the objective to create a world-class visitor destination.  The scheme will take 10-15 years to complete and will result in a mixed development of conference, exhibition and arena facilities with car parking, infrastructure public realm, hotels, retail/leisure facilities and commercial office space and up to 1700 residential units.

It was noted that English Partnerships are the site owners and are working with the Agency and Liverpool City Council and Objective 1.It was agreed that the Agency should carry out a full appraisal of this project but give an in principle funding contribution to the project, subject to appraisal.  This will allow Objective 1 to confirm its funding contribution.
 
59/10 Bickershaw Colliery
The Board noted that this project will remediate the former 78 ha colliery site removing contaminants to bring the land to a sustainable standard for future development.  The development will include a marina with a new road bridge and key infrastructure improvements.

The Board also noted that the site is owned by the Agency and is part of the National Coalfields programme.The works required will be undertaken at no cost to the Agency, as English Partnerships will meet all scheme.The Board agreed to approve this project facilitating a submission to CPRG for final approval.
 
59/11 Farming Connect Cumbria
The Board were updated on the Farm Connect Cumbria farm business development programme to integrate business, environmental, technical and marketing advice to farmers.  The aim of the Scheme is to improve the efficiency, sustainability and competitiveness of agriculture in Cumbria.

The Board noted that this service will be provided by CREA under contract to Business Link and that Agricultural State Aid approval is required. The Board agreed to this proposal, which is within the Strategic Investment Plan allocation for Rural Regeneration Cumbria 2004-2008. 
 
59/12 Chairman’s Report
The Board noted the Chairman’s report.

59/13 Report of the NWDA sub groups
The Board noted the reports from NWDA Sub Groups.
 
59/14 SURF: Mapping the Regionalisation Process

The Board agreed that the document commissioned by the Agency produced by SURF on Business and Regional Governance should be published on the Agency’s website and circulated to key business leaders.  This document, which aimed to provide an informative, up to date and easily digested publication, was designed to be impartial and a reliable source of intelligence in advance of the ERA referendum.

The Board agreed the publication of the document was not contrary to Government Guidance to non-departmental public bodies.
 
59/15 Board members feedback
There were no items to report.
 
59/14 Date and time of the next meeting
9/10 September to include sub-regional visit to Lancashire.
 
The meeting finished at 16.10.

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