South West Regional Development Agency

SOUTH WEST OF ENGLAND REGIONAL DEVELOPMENT AGENCY 
MINUTES OF THE 76th BOARD MEETING 22 MAY 2006 
Sterling House, Dix's Field, Exeter 
 
Present: 
Juliet Williams - Chairman  
Nick Buckland - Deputy Chairman  
Cathy Bakewell - Board Member 
Christine Channon - Board Member 
Alan Courts - Board Member 
Nigel Costley - Board Member 
Kelvyn Derrick - Board Member 
Duncan Hames - Board Member 
Brian Kemp - Board Member 
Jonathon Porritt - Board Member  
Christine Reid - Board Member  
Judith Reynolds - Board Member 
Colin Skellett - Board Member 
Harry Studholme - Board Member 
 
In attendance: 
Jane Henderson - Chief Executive 
Suzanne Bond - Executive Director Strategy and Communications 
Nick Lewis - Executive Director Resources 
Colin Molton - Executive Director Operations and Development 
Stephen Peacock - Executive Director Enterprise and Innovation 
Jeff Chinnock - Corporate and Parliamentary Affairs Manager 
Caroline Bloodworth - Board and Policy Advisor 
Ian Thompson - Director of Operations North (items 5) 
Claire Gibson - Director of Planning, Transport and Environment (item 10) 
Pat Steward - Head of Planning and Transport (item 9) 
 
Apologies: 
Eric Thomas - Board Member 
 
 
 
1. MINUTES FROM 75th MEETING AND MATTERS ARISING 
 
The minutes of the meeting were agreed as a correct record. There were no matters arising. 
 
2. CHAIRMAN'S REPORT 
 
The Chairman tabled her report and offered an oral update on a number of other items. 
 
Regional Economic Strategy launch - 23 May. The Chairman reported that, due to the reading of the Education Bill, no Minister would be able to attend the launch in person. Instead there would be a recorded video message from a Minister. 
 
Board member attendance at staff conference. The Chairman thanked Nigel Costley, Nick Buckland, Christine Reid and Cathy Bakewell for attending the recent staff conference, which had been a positive, well-run event that offered a unique opportunity to meet Agency staff. Board member attendance was encouraged at future events.  
 
SWRA Strategic Review on Sustainable Energy. The Chairman reported that the Agency's appearance at the Scrutiny Panel held on 17 May had been well received. The briefing team was thanked. 
 
Minister of State for Industry and the Regions - Margaret Hodge MP. The Chairman reported that the new Minister had chaired the RDA Chairs meeting with Ministers on 10 May. She confirmed that she had written formally to invite the Minister to meet the Board and Executive over dinner in the coming months. 
 
Board communiqué. In order to communicate key decisions made at Board meetings, a brief communiqué which would be placed on the Agency's website the day after Board meetings.  
 
3. CHIEF EXECUTIVE'S REPORT 
 
Jane Henderson briefed the Board on the recent interim report of the Lyons Review on Local Government and its relevance to RDAs, as well as the LGA report, "Closer to People and Places", published that morning. In response, it was suggested that the Board local government group might be reinvigorated with a wider membership, and report back to the Board in due course.  
 
Stephen Peacock provided an update on the position with Business Links in the south of the region. Bilateral meetings had been arranged with Business Link Devon and Cornwall and Business Link Somerset.  
 
4. EXETER INNOVATION CENTRE 
Commercial in confidence 
(Christine Channon declared an interest)  
 
 
5. BRISTOL ARENA 
Commercial in confidence  
 
 
6. BUDGET 2006/7 
 
Nick Lewis explained that no final allocation letter had yet been received from Government. No EYF had been assumed in the budget proposal. He explained that the Agency intended to refresh its ICT equipment in this financial year and to bring ICT staff in-house. Nick Lewis would double check slippage figures for projects under £1m and provide further information on regional projects funded by current expenditure.  
 
Harry Studholme provided an explanation of Treasury policy on the treatment of non-cash costs and the implications for RDAs. The Board noted that this policy appeared to have unintended consequences in that it would deter the Agency from investing in innovative projects. 
 
In response to recent press coverage of the Agency's overseas office costs, it was confirmed that a review was planned in the second half of the year to better inform future funding decisions. 
 
Board decision  
 
The Board approved the 2006/7 budget.  
 
7. EUROPEAN STRUCTURAL FUNDS POST 2006 UPDATE 
 
Colin Molton outlined the current developments regarding the delivery of future European funds, namely the Convergence Programme of approx £380m for Cornwall and the Isles of Scilly and the Competitiveness Programme which would apply elsewhere in the region. A Government decision on the delivery of the post 2006 programmes was expected in the summer. Jane Henderson would be attending the next Department for Communities and Local Government meeting on options for delivery 
 
It was noted that a larger role for RDAs would have significant implications for the Agency's capacity and resources, and that European procedures were resource intensive. It was agreed that a status report would be prepared for the July Board meeting.  
 
Board Decision 
The Board noted the update. 
 
Juliet Williams and Colin Molton left the meeting at this point (to attend a meeting with Danuta Hubner). Nick Buckland chaired the meeting. 
 
8. IPA 
Suzanne Bond explained that a self assessment "pre-draft" had been circulated to the Board. This would be considered in more detail by the IPA Board sub group which was due to meet after the main Board meeting. 
 
Internal discussion and focus groups on the Self Assessment and Improvement Planning had been underway since January and regional stakeholders had been contacted by letter. A core group of stakeholders would be invited to 'reality check' the self assessment prior to publication. The self-assessment should strike the right balance between an assessment 'report' and a communications document - it should be easy to read. 
 
Board Decision 
The Board noted the paper. 
 
9. REGIONAL SPATIAL STRATEGY (RSS) UPDATE 
Harry Studholme explained that the Regional Assembly had now submitted the draft RSS to Ministers and that a detailed response from Government was expected by September, with an Examination in Public in spring 2007.  
 
Pat Steward explained that the associated consultation exercise would be launched in early June and that it was suggested the Board Planning group be used to provide ongoing advice to the Planning team.  
 
Board decision 
The Board noted the paper and agreed that the issue would be referred to the Planning Group. 
 
10. THE WAVE HUB 
Stephen Peacock explained that the Agency intended to submit an application for DTI funding for the "Wave Hub" from the Marine Renewable Deployment Fund at the end of May. The project was progressing well operationally and cost uncertainties were reducing. Recent issues were around the increasing price of copper and supply vessels (where costs had increased due to demand from offshore wind farms). Discussions around potential operating company structures were progressing well but the issue was made more complex by the rules governing RDAs concerning the treatment of capital assets and non-cash costs. 
 
Board decision 
The Board noted progress made since November 2005 and endorsed the submission of the funding application to the DTI. 
 
11. WEST OF ENGLAND TRANSPORT UPDATE 
 
Claire Gibson outlined the work that had taken place since the Board's discussion in April 2005 about the emerging findings of the Greater Bristol Strategic Transport Study (GBSTS). The Agency had funded Forum for the Future to undertake a sustainable mobility project for the West of England, recommendations from which were included in the paper. 
 
It was suggested that further work on road pricing would be of value to the Agency.  
 
Board decision 
The Board noted the findings of the GBSTS and the West of England Sustainable Mobility Project, and the proposals for taking this forward. 
 
 
12. STANDING ITEMS 
 
a. Projects Approved 
Noted.  
 
b. Policy Consultation Reponses 
Noted. 
 
c. Summary of Board Advisory Group minutes 
None. 
 
d. Decisions taken using Urgency Procedures 
None. 
 
e. Documents Sealed 
Noted. 
 
f. Loan Write Offs 
Noted 
 
g. Audit Committee minutes 
None 
 
h. Remuneration Committee minutes 
Noted.