Agenda item

Capital Spend and Project Approvals

Minutes:

The Committee considered a report of the Director of Delivery on proposals for the progression of, and funding for, a number of West Yorkshire plus Transport Fund (WY+TF) and Growth Deal projects at Stages 1, 2 and 3 of WYCA’s Assurance Process.

 

Members considered the following 3 schemes which were detailed in the submitted report:

 

Leeds City Region Enterprise Zones Programme

Decision Point 2 (Case Paper)

Steeton and Silsden A629 Foot/Cycle Crossing

Decision Point 2 (Case Paper)

East Leeds Outer Ring Road Junctions

Decision Point 5 (Full Business Case with Finalised Costs)

 

The report also provided further details and outlined recommendations for the following schemes which have had exception reports assessed in line with WYCA’s Assurance Process:

 

A641 – Bradford to Huddersfield Corridor

Activity 1 (Expression of Interest) Exception

Strategic Inward Investment Fund

Activity 6 (Delivery) Exception

 

The Committee was provided with details of decisions made through delegation to WYCA’s Managing Director since the last meeting for the following schemes:

 

Burberry Ltd Global Shared Services Centre

Decision Point 5 (Full Business Case with Finalised Costs)

Digital Sector Soft Landings Grant Scheme

Decision Point 5 (Full Business Case with Finalised Costs)

 

It was noted that the Portfolio Information Management System (PIMS) had proceeded directly to WYCA ahead of consideration by the Investment Committee due to the nature of the funding stream.  The £0.240m funding (by WYCA), was approved at the WYCA meeting held on 5 October 2017.

 

Summaries of the schemes’ Business Cases were attached as Appendices 1-8 of the submitted report.

 

Resolved:

 

(i)         In respect of Leeds City Region Enterprise Zones Programme (Decision Point 2), the Investment Committee recommends to WYCA that:

 

·         The Leeds City Region Enterprise Zones Programme proceeds through Decision Point 2 and work commences on Activity 3 (Outline Business Case) for the Phase 2 sites outlined the submitted report and Activity 4 (Full Business Case) for Phase 1 Leeds EZ.

·         An indicative Approval to the £20.000m programme cost is given from the Local Growth Fund with Full Approval to spend being granted to individual sites once they have progressed through the Assurance Process to Decision Point 5 (Full Business Case with Finalised Costs).

·         Development costs of up to £0.302m from the Local Growth Fund are approved in order to progress Phase 2 sites to Decision Point 3 (Outline Business Case).

·         Future approvals are made in accordance with the Approval Pathway and Approval Route outlined in the submitted report.  This will be subject to the scheme remaining within the tolerances outlined in the submitted report.

 

(ii)        In respect of Steeton and Silsden A629 Foot/Cycle Crossing (Decision

Point2), the Investment Committee recommends to WYCA that:

 

·         The Steeton and Silsden A629 Foot/Cycle Crossing proceeds through Decision Point 2 (Case Paper) and work commences on Activity 3 (Outline Business Case).

·         Approval to the total project value of £0.210m is given from the CCAG Fund (which incorporates DfT Grant) for Activity 3 (Outline Business Case) only.

·         WYCA enter into a Funding Agreement with City of Bradford Metropolitan District Council for expenditure of up to £0.210m from the CCAG Fund.

·         Future approvals are made in accordance with the Approval Pathway and Approval Route outlined in the submitted report including that Decision Point 3 approval will be delegated to WYCA’s Managing Director.  This will be subject to the scheme remaining within the tolerances outlined in the submitted report.

 

(iii)       In respect of A641 – Bradford to Huddersfield Corridor (Activity 1 Exception), the Investment Committee recommends to WYCA that:

 

·         Further development costs of up to £0.630m are approved from the West Yorkshire plus Transport Fund  (WY+TF) to enable further Expression of Interest development, in order to progress the scheme to Decision Point 2 (Case Paper), taking the total project approval to £0.730m.

·         WYCA enters into an addendum to the existing Funding Agreement with Calderdale Council for A641 – Bradford to Huddersfield Corridor for additional expenditure of up to £0.630m from the WY+TF.

·         Future approvals are made in accordance with the Approval Pathway and Approval Route outlined in the submitted report.  This will be subject to the scheme remaining within the tolerances outlined in the submitted report.

 

(iv)       In respect of ELOR Leeds Outer Ring Road Junctions (Decision Point 5), the Investment Committee recommends to WYCA that:  

 

·         The East Leeds Outer Ring Road Junctions Project (part of the East Leeds Orbital Road Package of schemes) proceeds through Decision Point 5 (Full Business Case with Finalised Costs) and work commences on Activity 6 (Delivery).

·         Approval of WYCA’s contribution of £14.047m (which will be funded from the West Yorkshire plus Transport Fund (WY+TF)) is given, taking the total project approval for the full ELOR package of schemes to £25.857m (£14.047m plus £3.900m for design and preparation for Phase 1 and the Outline Business Case for the ELOR project plus £6.750m for land costs and a £1.160m contribution from funding approved by WYCA to commence development work on WY+TF projects before the Growth Deal was established (all funded from the WY+TF)).

·         WYCA enter into an addendum to the existing Funding Agreement with Leeds City Council for expenditure of up to £25.857m from the WY+TF.

·         Future approvals are made in accordance with the Approval Pathway and Approval Route outlined in the submitted report following a recommendation by WYCA’s Programme Appraisal Team.  This will be subject to the scheme remaining within the tolerances outlined in the submitted report.

 

(v)        In respect of the Strategic Inward Investment Fund (Activity 6 Exception), the Investment Committee recommends to WYCA that:

 

·         The exception is approved to change the Strategic Inward Investment Fund lower limit for applications from £250,000 to GBP equivalent (at time of application) to €200,000.

·         The exception is approved to amend the assurance and approval processes for applications of £250,000 or below as outlined in the submitted report, so that these decisions are delegated to the WYCA Managing Director.

Supporting documents: