MINUTES OF THE BOARD MEETING HELD ON 20 JUNE 2007 AT RENAISSANCE HOUSE, WARRINGTON

Present: 

Bryan Gray (Chair)
Sir Martin Harris
David Brockbank
Joe Dwek
Vanda Murray
Marie Rimmer
Anil Ruia
Brenda Smith
Maureen Williams.
 

Also Present: 

Steven Broomhead, Chief Executive
Bernice Law, Deputy Chief Executive/ Secretary
Ian Haythornthwaite (91/04, 91/09)
Peter White (91/05, 91/06)
Simon Nokes (91/07)

91/00 PRESENTATION: LEADING LEARNING AND SKILLS, JOHN KORZENIEWSKI, NW REGIONAL DIRECTOR, AND PAUL HOLME. DIRECTOR OF SKILLS, LEARNING AND SKILLS COUNCIL

The Board received a presentation from John Korzeniewski, the NW Regional Director and Paul Holme, the Director of Skills for the Learning and Skills Council which focused on:

• LSC priorities and the alignment to the RES.
• The North West’s performance.
• Government’s response to the Leitch Review of Skills.
• The future North West regional architecture.

The Board noted the LSC’s priorities, which were to raise:

• The quality and improve the choice of learning opportunities for all young people to equip them with the skills for employment; further or higher learning; and wider society and community engagement. 
• The skills of the nation, giving employers and individuals the skills they need to improve productivity, employability and social cohesion.
• The performance at world class level that is responsive, provides choice and is valued and recognised for excellence. 
• The contribution to economic development and locally and regionally through partnership working.

The Board noted that the LSC had sought to align its priorities with the RES by: 

• Linking LSC Area and Regional Plans with those of the RDA.
• Establishing a line of sight in the NW to the RES through Regional Statement of Skills Priorities.
• Developing a LSC NW Capital Statement.

The Board was advised that the LSC had established a Regional Commissioning Plan which aimed to act as a vehicle through which intelligence could be shared on current labour supply and demand.  The new approach to commissioning would be structured around regional skills priorities and would:

• Provide individuals and employers with the power to choose.
• Empower the best providers to engage more learners and employers. 
• Establish a new relationship with colleges and providers; provide strategic dialogue; have a light touch; and minimise bureaucracy.

The Board noted the LSC Expenditure for 2006/07 and planned expenditure for 2007/08.  The Board also noted the issues and opportunities arising from the Leitch Review. 

• Integrating employment and skills.
• The Employers Skills Pledge.
• Reforming qualifications and training supply.
• Government support for skills needed for work/life.
• Supporting individual learners.
• Equipping young learners with the skills they need for work and life.

Finally the Board was advised of the future North West architecture which would include regional, sub regional and local structures.

91/01 INTRODUCTION, APOLOGIES FOR ABSENCE AND DECLARATIONS OF INTEREST

Apologies were received from Peter Hensman, Pauleen Lane, John Merry, John Moverley, Dave McCall and Mike Storey.

Bryan Gray declared an interest in item 91/08 (j) Lowther Castle.

91/02 MINUTES OF THE MEETING HELD ON 17 MAY 2007 AND MATTERS ARISING

The minutes were approved as a correct record.

91/03 ACTION POINTS FROM PREVIOUS MEETINGS 
 
The Board noted the progress made on the action points from previous meetings.

91/04 UNIVERSITY OF CUMBRIA

 The Board was reminded that the development of the University of Cumbria (UoC) was a Transformational Action identified in the RES.  It would be a key element in the transformation of the Cumbrian economy which sought to encourage graduate retention.   

The Board noted that Sir Martin Harris had carried out a full review of the Higher Education provision in the Sub Region which led to the current proposal to develop the University.  The Board was made aware of the potential need for a University of Cumbria in September 2005 when it was asked to consider the issues around Higher Education in the Sub Region.

The Board noted that there were two elements to the UoC:

• The main central university with campuses in Carlisle, Penrith, Ablemside and Lancaster.
• Cumbria Higher Learning (CHL) which is a partnership of the four local Further Education Colleges and other access points around the region to form a distributive learning network focusing on the needs of local and regional communities through the development of higher level skills and on engaging employers directly.  The four colleges are Furness (Barrow), Kendal, Lakes (Workington) and Carlisle.

The Board agreed NWDA investment of £9.45m for the development phase of the project and noted the full investment proposal would be brought back to the Board at its September meeting, prior to submission to CPRG.

91/05 REVIVE:  LAND REGENERATION PROGRAMME

 The Board received an update on the REVIVE programme, which included soft end use reclamation in the Cheshire and Warrington Sub Region.  The Board was advised that the programme reflected the priorities of the RES and would target key RES Action 84 and contribute towards RES Actions 113 and 116. 

The Board noted that the Cheshire and Warrington Sub Region had a legacy of brownfield land that negatively impacted on its image.  However, sites that were currently regarded as being liabilities had the potential to become valuable environmental assets and to enhance the image of the region.  The programme would develop a series of new site specific projects across Cheshire and Warrington, building from the indicative list that had been submitted in the funding application. 

An independent external appraisal of the programme had been undertaken to test the validity of the programme against the RES and its governance arrangements.  This had concluded that the programme had a strong strategic fit and had been developed to align directly with the priorities of the Cheshire Warrington Economic Alliance.  The appraisal had confirmed that there would be appropriate governance arrangements in place, which would be strengthened by the appointment of a discrete delivery team.

The Board approved funding allocation to Cheshire County Council.

91/06 REQUIREMENT FOR COMPULSORY PURCHASE ORDER (CPO) AT THE FORMER BICKERSHAW COLLIERY, LEIGH, WIGAN
 
The Board was asked to support the proposals for the Agency to make the necessary acquisitions of residential and commercial property to enable the wholesale regeneration of the former Bickershaw Colliery site in Wigan. 

The Infrastructure Sub Committee at its meeting on 16 May 2007 had reviewed the proposal in detail and agreed to recommend that the Board approved the Agency’s use of its CPO powers in this regard. 

The Board was reminded that the 18 ha Bickershaw site at Leigh, Wigan was one of the original 56 sites within English Partnerships (EP) National Coalfields Programme.  The programme commenced in 1996 and would expire on 31 March 2012.  Ownership of the site had been transferred from EP to NWDA following the inception of RDAs in 1999.  Following detailed consideration and in conjunction with EP and Wigan MBC, the preferred option of a mixed use development had received NWDA Board approval on 9 July 2004. 

The Board noted that to date the Agency had acquired adjacent properties through negotiation.  However some negotiations were becoming protracted, and to ensure expedience in concluding the site assembly the Agency needed to use its CPO powers. 

The Board supported the authority to immediately progress the requisition of Title Information on third party owned properties required to complete the land assembly at Bickershaw and approved the Agency’s use of CPO powers.
 
91/07 NWRA SCRUTINY FUNCTION
 
The Board received an update on the North West Regional Assembly’s scrutiny role of the Agency.  The Assembly had decided to perform its scrutiny role by examining in turn each of the five RES chapters/themes.  For each RES theme there was a five stage process:

• Appointment of a consultant by NWRA.
• Gathering of evidence by the consultant.
• A “Select Committee” style special hearing.
• Writing of the final report by the consultants.
• A written response by NWDA within three months.

To date the Assembly had scrutinised the Business and Quality of Life RES themes.  The final report on Skills/Education and People/Jobs had also been received and the Agency was currently working on its response to the recommendations. 

The Board agreed that the Scrutiny process and recommendations had proved useful to the Agency, particularly given that the Assembly was gaining support and endorsement on its recommendations from a wider audience. 

91/08 CHIEF EXECUTIVE’S REPORT
 
a) Government White Paper: Planning for a Sustainable Future     
The Chief Executive reported that on 21 May 2007 the Secretary of State for Communities and Local Government announced the publication of the Planning White Paper.  The White Paper’s proposals would seek to:

• Develop a stronger approach to sustainable economic development, alongside work to cut the environmental impact of economic development.
• Speed up decision making on major infrastructure projects to allow for improved accountability and transparency of the system whilst also allowing public and communities to participate effectively in the process.
• Revise retail planning policy to support vibrant town centres
• Speed up the system by allowing people greater flexibility to make minor extensions to their homes and business premises and to install micro generation equipment.

The new system for major infrastructure projects would replace a range of existing consent regimes that cover major airport and port projects, improvements to the strategic road network, water, energy and waste development.

A new Infrastructure Planning Commission would be responsible for determining applications for key infrastructure developments above certain thresholds.

The Board noted that the White Paper also aims to place tacking climate change at the heart of building new communities.

Consultation on the White Paper would end on 17 August 2007.  The Agency would provide a corporate response and would also contribute to the joint RDA response that was being co-ordinated by ONE North East.  The Infrastructure Sub Committee would review the White Paper in detail and help determine the Agency’s response.   This would then be presented to the September Board.

b) “Be inspired” – Northwest Legacy Framework for the 2012 Games       T
he Board noted that this initiative was launched at the City of Manchester Stadium on 11 May 2007. Sebastian Coe was the keynote speaker.  250 stakeholders from across the region attended the event.  Vanda Murray represented the NWDA and provided a presentation on the ‘Opportunities for Business and Tourism’.

c) Strategic Review Meetings    
The Board noted that Margaret Hodge, the Minister for Industry and the Regions had agreed with RDA Chairs that a rolling programme of six monthly meetings would take place between DTI and each RDA to discuss performance.  Steven Broomhead would keep Board Members informed of developments.

d) Government Energy White Paper:  Meeting the Energy Challenge    
The Board was advised that on 23 May 2007 Government published its White Paper on Energy which set out a framework for action to address the challenges that the UK faces in respect of climate change, energy demand and security. 

The Board noted the four stated aims of the White Paper:

• To put the UK on a path to cutting CO2 emissions by 60% by 2050 (with real progress by 2020).
• To maintain reliability and security of supply.
• To promote competitive markets.
• To eliminate fuel poverty.

The Board welcomed the recognition within the White Paper that RDAs would be ideally placed to help identify opportunities to exploit the sustainable use of heat, because of RDAs’ detailed knowledge of existing and likely locations for new developments within regions.  RDAs were also considered to be well placed to pilot focused approaches to financing and managing the sustainable production and delivery of energy.

e) New Energy Technologies Institute  
The Board was advised that on 14 May 2007 Government had announced a shortlist for the new Energy Technologies Institute (ETI), which included a North West University consortium led by the University of Manchester with Lancaster and Liverpool and including NWDA.  The Institute, as proposed in the 2006 Budget, would seek to provide the UK with a world class means to deliver applied energy technology research to underpin eventual employment by bringing together public and private sector R&D in the UK to set strategic direction and fund its delivery.

Representatives from the funding organisations would now visit each of those short listed and make a final recommendation to the ETI Board early in the Autumn.  The Board would be kept up-to-date with developments.

f) Inquiry into Renewable Energy – Generation Technologies    
The Chief Executive reported that the House of Commons Science and Technology Committee recently announced an inquiry into renewable energy – generation technologies to examine the current state of UK research and development, and the deployment of, a range of “renewables”.   The clerk of the Committee had invited the Agency to respond by the 2 July 2007 deadline.
 
g) Draft Local Transport Bill    
The Board was advised that the recently published draft Local Transport Bill set out the Government’s legislative proposals on local transport and consisted of three main strands:

• To enable local authorities to improve the quality of local bus services.
• To reform the arrangements for local transport governance in major conurbations, to ensure that there is strong local leadership and a coherent approach to transport across individual local authority boundaries and across different transport modes.
• To reform the existing legislation relating to local road pricing schemes to ensure that, where local authorities wish to develop local road pricing schemes, they have the freedom and flexibility to do so in a way that best meets local needs – while ensuring that any schemes are consistent and interoperable.

The Board noted that draft Bill was likely to have an impact on Greater Manchester’s local road charging plans as part of their proposed bid to the DfTs Transport Innovation Fund in July this year. 
The Bill had been published in the form of a consultation.  The deadline for comment was Friday 7 September 2007.  The Agency would consider a response to the key issues in due course.

The Board agreed that following the presentation to the May Board from Sir Howard Bernstein, the Chief Executive would write to support in principle, Greater Manchester’s Transport Innovation Fund bid, subject to the four tests that were outlined in the presentation being satisfied.

h) Regional Funding Allocations    
The Board noted that following the consultation on the Regional Funding Allocations (RFA) that was announced in July 2006 Government had published a summary of responses.   The majority of responses were broadly supportive of the overall principle of the RFA process and many were positive about the opportunity for more regional and local involvement in setting funding priorities. 

Government was now considering the options to take the RFA exercise forward as part of the wider Sub National Review.

i) Leitch Review on Skills:  Implementation Plan and Employers Skills Pledge   
The Board was advised that the Leitch Review on Skills was published by DfES on 16 May 2007.  The Agency as lead RDA on Skills had provided comments on behalf of all the RDAs. 

The Board was advised that the key issues raised in the RDA response were as follows:

• RDAs supported the much wider Leitch ambition and consequently, the need to support development of world class skills to enable us to respond to global competition through raising productivity and profitability.
• In order for this to become ”our” plan, DfES would need to ensure it engaged with a much wider range of partners, and recognise the RES and the role RDAs have to play in driving this agenda forward to realise the Leitch ambition. 
• RDAs could add value by driving the demand for skills through business support, showing the benefits to business of investing in human capital.  With limited new money available, the challenge was to ensure existing investments by both private and public sector are more effective.

The Chief Executive reported that he had raised the above issues when he appeared as a witness (representing all RDAs) at the Skills Parliamentary Select Committee held on 4 June 2007.  Work would continue to ensure the issues were resolved. 

The implementation plan was expected to be launched in July 2007.

The Board also noted that the Leitch report had recommended the Employers Skills Pledge as a specific, voluntary commitment to the workforce to support every eligible employee to gain basic skills and a first full level 2 qualification.  The pledge was launched on 14 June 2007.

j) Lowther Castle and Gardens    (Sir Martin Harris chaired the meeting for this item)

The Board was advised of the progress made with this project:  

• A new limited company, ‘Lowther Castle and Gardens Trust’, had been created to manage the Lowther Project.  The Company would apply for charitable status in due course.
• The Articles of the new company had been drafted on the basis that both NWDA and the Lowther Estates Trust would have the right to appoint or remove a nominated Director/Trustee.
• Lowther Estates Trust had submitted the application for funding to the Big Lottery Fund and would submit its funding bid to the Heritage Lottery Fund by the end of June. 
• The Company would apply to Cumbria Vision for future funding.  
• Subject to agreement with the Lowther Estate Trust, it was proposed that the Castle and Gardens (with appropriate access rights) would be transferred to the Company on a long lease, for public benefit.

The Board noted the update and agreed that NWDA Chairman, Bryan Gray would be a nominated Director / Trustee of the Company on behalf of NWDA.

k) Ladders to Regeneration:  Report of the RENEW Northwest Innovation Task Force    
The Board noted that early in 2006 RENEW established an Innovation Task Force to look at what should be done to help disadvantaged people from areas being regenerated to find work in the regeneration “industry” and become more actively involved in governance of regeneration programmes.  

The Task Force concluded that despite much innovation and good practice, regeneration organisations and partnerships in the region were still failing to create adequate ladders to regeneration.

For the period 2007 to 2009 the Task Force had agreed a number of follow up actions, categorised under three headings:  Regeneration Employment, Regeneration Leadership and Ladders to Regeneration.

l) Revised ICT Strategy    
The Chief Executive reported that the Agency’s current ICT Strategy, which was launched in 2005, had concluded in March 2007.  Its main objective which was to increase ICT/Broadband adoption, had been successfully delivered with widespread broadband coverage at 99.9%.

A revised strategy was currently being developed which would seek to implement RES actions 20, 21 and 22 and be based on four themes:

• ICT Business Support.
• ICT Supply Chain.
• ICT Skills in the Labour Market.
• Digital Connectivity.

The strategy would dovetail with the NW Science Strategy and the NW Internationalisation Strategy and promote innovation. 

The Enterprise, Innovation and Skills Sub Committee would review the detail of the strategy prior to presentation to the Board for approval.  The strategy would be launched in the Autumn.

m) Project ACCESS    
The Board noted that on 14/15 May 2007 the EU Commission had held a conference “Bridging the Broadband Gap” to showcase successful Broadband projects. Project ACCESS had been named fifth out of 149.

n) Burton Foods, Moreton, Wirral    
The Chief Executive reported that Burton Foods had recently announced plans to close down most of its site in Moreton with the loss of 600 to 800 jobs.  The Agency had been involved in a series of discussions with stakeholders including Angela Eagle MP, Wirral Borough Council, Job Centre Plus, Merseyside LSC, the Trade Union (UNITE) and the Mersey Partnership.

Burtons had requested further and more accurate information to help formulate solutions.  Once provided, the detail would be considered by the Stakeholder Group who would then meet Burtons to outline recovery proposals. 

The Agency had asked Wirral MBC to provide information in relation to the Moreton production facility and local workforce demographics, should the site become vacant and thus provide a redevelopment opportunity.

o) NWDA Response to DCLG Consultation on NW Unitary Authority Proposals    
The Board was advised that a NWDA Task and Finish Group had considered the draft NWDA response to DCLG consultation on NW Unitary Authority proposals which were for:

• A single Cumbria Unitary Authority based on current county boundary.
• A single Cheshire Unitary Authority based on the current county boundary.
• Two Cheshire unitary authorities based on the Local Authority areas of:
  • Chester City, Ellesmere Port and Neston, Vale Royal.
  • Crewe and Nantwich, Congleton, Macclesfield.

The draft response concluded that all of the proposals were likely to result in improved strategic leadership; better fit with economic geographics; the retention or enhancement of existing delivery capacity; and improved co-ordination of activity.  The deadline for responses to DCLG was 22 June 2007.

DCLG was also consulting on how to prioritise implementation of those proposals that met the criteria.  The deadline for submission of those responses was 18 July 2007.

p) Blackpool    
The Board noted that the Blackpool Task Force comprising NWDA, GONW and Re:Blackpool was considering a first draft of a report to be submitted to Government on proposals for the sustainable economic future of the town. 

q) Liverpool PLC    
The Board was advised that the Agency had been involved in initial meetings to consider the development of a new single regeneration company.  This would result in the merger of Liverpool Vision, Liverpool Land Development Company and Business Liverpool.  It was expected to come into force on 1 April 2008. 

The transition process was being led by Liverpool City Council and a transitional Board chaired by Sir Joe Dwyer had been created to oversee the amalgamation.  The likely spatial focus for the new company would be North Liverpool/Liverpool City centre, although its remit and structure were still unclear.

The Board agreed to support the principle of the establishment of the new organisation, subject to detailed information on how the process would be managed; and clarity around the aims and objectives of the new company and the interface with the Mersey Partnership.  The Board would receive a further update in July.

r) Cumbria Vision Chairmanship    
David Brockbank had advised that he intended to step down as Chairman of Cumbria Vision later in the year.  An open competition to select a replacement had started.  The Board would be kept informed.

s) Changes within the Machinery of Government    
The Board was reminded that at the end of June the UK would have a new Prime Minister and it was likely that changes to the structure of Government Departments would take place quickly after Gordon Brown’s appointment.   An update would be provided to the July Board meeting.

t) Organisational Structure    
The Chief Executive advised the Board that the Agency’s new organisational structure would be effective from 1 August 2007.  He would circulate details to the Board.

91/09 FINANCE DIRECTOR’S REPORT

The Executive Director of Corporate Resources and Finance updated the Board on the final stages of preparing the Statutory Accounts for the year ended 31 March 2007.  A full set of accounts had been sent to NAO on Friday 1 June 2007 in preparation for the final audit.  NAO had arrived at the Agency on 4 June 2007 and was scheduled to complete its audit by 22 June 2007.  The final accounts would be presented to the July Board. 

The Board was advised that, for 2007/08 the Agency would be required to separate write downs from the main DTI allocation (DEL) and account for these “below the line” in accordance with HM Treasury rules on annually managed expenditure (AME). 

The Board approved the delegations for the period 23 April 2007 to 25 May 2007.

90/10 CHAIRMAN’S REPORT

 The Chairman reported on the following:

Media City:UK and the BBC    
An event to mark the completion of the work on this project had been held recently.

Board appointments   
A press advertisement had recently been published, seeking new RDA Board Members from December 2007.  The closing date for applications was the end of June 2007.   The Chairman advised that he had hosted a number of awareness raising sessions for potential candidates.

Capital of Culture   
Councillor Joe Anderson had resigned from the Capital of Culture Board.  The programme for 2008 was very strong and work was now underway to promulgate this message.

September Board    
The Away Day would be deferred until November.  Therefore the September Board meeting would be held at Renaissance House, Warrington.

91/11 MINUTES FROM THE INFRASTRUCTURE SUB COMMITTEE MEETING HELD ON 16 MAY 2007

The minutes were noted.
 
DATE AND TIME OF NEXT MEETING

The next meeting will take place at 12.30pm on Thursday 12 July 2007 at Renaissance House, Warrington.