Agenda and minutes

West Yorkshire and York Investment Committee
Tuesday, 5th June, 2018 11.00 am

Venue: Committee Room A, Wellington House, Leeds. View directions

Items
No. Item

59.

Apologies for Absence

Minutes:

Apologies for absence were received from Councillor Barry Collins.

60.

Declarations of Disclosable Pecuniary Interests

Minutes:

Roger Marsh declared an interest in respect of agenda item 7, Further Capital Spend Proposals (following the ‘Call for Projects’) - Institute for High Speed Railways and System Integration, University of Leeds, as he is a member of the University of Leeds Council.

61.

Exempt Information - Possible Exclusion of the Press and Public

1.         To highlight Appendix 12 to Agenda Item 7 and Appendices 1, 2, 3, 4 and 5 to Agenda Item 8 which officers have identified as containing exempt information within the meaning of Schedule 12A to the Local Government Act 1972, and where officers consider that the public interest in maintaining the exemption outweighs the public interest in disclosing the information, for the reasons outlined in the report.

 

2.         To consider whether or not to accept the officers’ recommendations in respect of the above information as set out in paragraph 6.2 of Agenda Item 7 and paragraph 4.1 of Agenda Item 8.

 

3.         If the recommendations are accepted, to formally pass the following resolution:

 

Resolved:  That in accordance with paragraph 3 of Part 1 of Schedule 12A to the Local Government Act 1972, the public be excluded from the meeting during consideration of Appendix 12 to Agenda Item 7 and Appendices 1, 2, 3, 4 and 5 to Agenda Item 8 on the grounds that it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the press and public were present there would be disclosure to them of exempt information and for the reasons set out in the report that in all the circumstances of the case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information.

Minutes:

Resolved:  That in accordance with paragraph 3 of Part 1 of Schedule 12A to the Local Government Act 1972, the public be excluded from the meeting during consideration of Appendix 12 to Agenda Item 7 and Appendices 1, 2, 3, 4 and 5 to Agenda Item 8 on the grounds that it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the press and public were present there would be disclosure to them of exempt information and for the reasons set out in the report that in all the circumstances of the case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information.

62.

Minutes of the Meeting of the West Yorkshire and York Investment Committee held on 18 April 2018 pdf icon PDF 131 KB

Minutes:

Resolved:  That the minutes of the West Yorkshire & York Investment Committee held on 18 April 2018 be approved and signed by the Chair.

63.

Capital Programme Update pdf icon PDF 130 KB

Additional documents:

Minutes:

The Committee considered a report on progress made on the implementation of the West Yorkshire Combined Authority’s capital programme in 2017/18.

 

A summary of each of the Combined Authority’s capital programmes was provided in Table 1 and spend by priority in respect of the Growth Deal target expenditure was outlined in Table 2 of the submitted report.  The dashboards for the Growth Deal and West Yorkshire plus Transport Fund were attached at Appendices 1 and 2 and detailed the final spend and RAG rating of each project. 

 

The Growth Deal performance and the outputs achieved to the end of 2017/18 were detailed in Table 3 and it was noted that activity was ongoing to ensure all projects accurately collate, evidence and report on outputs.  Members noted the update on project progress and performance and the report outlined the projects which currently have a red RAG rating. 

 

Progress in respect of the Local Transport Capital Programme, which includes five funding streams, was outlined in the submitted report.  This included the Local Transport Plan Integrated Transport Block (LTP) and National Productivity Investment Fund (NPIF) and a breakdown of the initial allocation for 2017/18 and 2018/19 and expenditure on each project was provided at Appendix 3.  The report also provided an update on other transport and economic development funding which included the DfT Cycle City Ambition Fund, WY Cycling and Walking Fund, Ultra Low Emission Vehicles, the WY Broadband programme and the Growing Places Fund.

 

Resolved:  That the progress made in implementing the Combined Authority Capital Programme be noted.

64.

Capital Spending and Project Approvals pdf icon PDF 303 KB

Additional documents:

Minutes:

The Committee considered a report on proposals for the progression of, and funding for, a number of West Yorkshire Combined Authority supported projects, including West Yorkshire plus Transport Fund and Growth Deal at stages 1, 2 and 3 of the Combined Authority’s assurance process.

 

Members discussed the proposals for the progress of the following five schemes which were detailed in the submitted report:

 

·         Land Release Fund

·         Leeds Integrated Station Masterplan

·         Northgate House, Halifax

·         Real Time Bus Information

·         Ultra Low Emissions Vehicles (ULEV) taxi scheme

 

The real time bus information project was welcomed and the Committee would be keen to see a similar scheme rolled out across West Yorkshire if funding could be secured.

 

In respect of Northgate House, the risk identified around the refurbishment scheme and the mitigations that would need to be addressed as the business case is developed was acknowledged.

 

The report also provided further details and outlined proposed recommendations for the following schemes which have had change request reports assessed in line with the Combined Authority’s assurance process:

 

·         Leeds Station Gateway – New Station Street improvements

·         Harrogate Road New Line – junction improvement Bradford/Leeds corridor

·         A65-A658 airport link road project

 

It was reported that the change request for the A65-A658 airport link road project was for additional development costs to progress the scheme to decision point 3 (outline business case) and that this would not increase the total indicative scheme cost at this stage and will result in funds being drawn down early to complete works on the outline business case. Members were advised that discussions would be entered into with the airport to seek a contribution for the scheme.

 

The Committee was also provided with details of a decision made through delegation to the Combined Authority’s Managing Director since the last meeting in respect of:

 

·         Apprenticeship Grants for Employers (AGE) Extension, West Yorkshire

 

It was noted that the Combined Authority’s Corporate Technology Strategy had been approved by the Combined Authority on 10 May 2018 as part of the corporate priorities report.

 

Summaries of the schemes’ business cases were attached as Appendices 2-7 of the submitted report.

 

Resolved:

 

(i)         In respect of Land Release Fund (LRF), the Investment Committee recommends to the Combined Authority that:

 

            (a)       The LRF project proceeds through decision point 2 and work

commences on activity 6 – delivery.

(b)        An approval to the total project value of £662,125 is given from the One Public Estate (OPE) Capital Grant fund with full approval to spend granted.

(c)        Delivery costs of £662,000 are approved in order to progress the scheme to activity 6 – delivery, taking the total project approval to £662,125.

(d)        The Combined Authority enter into a funding agreement with Craven, Wakefield, Leeds and Selby Councils for expenditure of up to £493,750, £18,750, £130,875 and £18,750 respectively from the OPE Capital Grant Fund.

(ii)       In respect of the Leeds Integrated Station Masterplan (LISM) the Investment Committee recommends to the Combined Authority that:

(a)        The Leeds Integrated Station Masterplan project proceeds through  ...  view the full minutes text for item 64.

65.

Further Capital Spend Proposals (following the `Call for Projects') pdf icon PDF 349 KB

Additional documents:

Minutes:

The Committee considered a report which, following the call for projects in Autumn 2017, put forward proposals regarding progression of the following West Yorkshire Combined Authority supported projects, for funding through the West Yorkshire plus Transport Fund (Transport Fund) and Growth Deal, for consideration by the Investment Committee at stage 1 of the Combined Authority’s assurance process.

 

·         Institute for High Speed Railways and System Integration – Phase 1

·         Leeds City Region Enterprise Zones Programme

·         Leeds Inland Port

·         Gateway to Huddersfield – Phase 1

·         CityConnect Cycle City Ambition Programme (CCAG) Phase 1 & 2 extension

·         Bradford City Centre Heritage Properties

·         Halifax Living, Halifax

·         Wakefield City Centre – South East Gateway

·         Rail Park & Ride Programme – Phase 2

·         York Central Kickstarter – Phase 1

·         Leeds City Centre Package – change request

 

It was noted that in-principle support for the 11 projects listed above had been approved in February 2018 by the Combined Authority and the promoters were invited to resubmit their expressions of interest and provide updated information.

 

A summary of the call for project submissions was attached at Appendix 1 and the background information on the Combined Authority’s assurance framework through which each of the schemes are being approved was attached at Appendix 2.

 

Members discussed the detail of the submissions which were outlined in the submitted report and the business case summaries were attached at Appendices 3 – 12.  Roger Marsh left the room during consideration of the Institute for High Speed Railways and System Integration – Phase 1 project.  It was noted that the York Central Kickstarter Phase 1 project was not seeking a recommendation at the present time although it may be resubmitted at a later stage in the programme.

 

The Committee welcomed the projects being put forward, some of which would deliver additional housing and jobs and Members asked that consideration be given as to how social benefits can be highlighted in future project approval reports.

 

Resolved:

(i)        In respect of Institute for High Speed Railways and System Integration, the Investment Committee recommends to the Combined Authority that:

(a)        The Institute for High Speed Rail and System Integration scheme Phase 1 proceeds through decision point 2 and work commences on activity 4 (full business case).

(b)      An indicative approval to the Combined Authority’s contribution of £11.44 million is given, which will be funded through over-programming against the Local Growth Fund, with full approval to spend being granted once the scheme has progressed through the assurance process to decision point 5 (full business case with finalised costs). The total Phase 1 value is £22.88 million (The University of Leeds will contribute match funding of £11.44 million).

(c)        Future approvals are made in accordance with the approval pathway and approval route outlined in the submitted report including at decision point 5 (full business case with finalised costs) through a delegation to the Combined Authority’s Managing Director following a recommendation by the Combined Authority’s Programme Appraisal Team. This will be subject to the scheme remaining within the tolerances outlined  ...  view the full minutes text for item 65.

66.

Rail Legacy Projects - Final Accounts pdf icon PDF 107 KB

Additional documents:

Minutes:

The Committee considered a report on Rail Legacy Projects – Final Accounts which:

 

·         Provided an update on the outcome of discussions with Network Rail on final accounts for the Kirkstall Forge, Apperley Bridge, Leeds Station Southern Entrance (LSSE) and Low Moor projects.

·         Sought recommendations to be made to the Combined Authority to approve relevant budget allocations and virements in relation to the proposed final accounts and payment(s) to Network Rail for Kirkstall Forge, Apperley Bridge and LSSE and to delegate authority to the Managing Director to conclude final account discussions and payments on Low Moor.

 

Members had previously considered and discussed information in respect of the rail station schemes outlined in the submitted report and the delays to the closure of accounts and completing the Lessons Learnt (Network Rail GRIP8) sessions.

 

The report provided further details on the final account discussions and members considered the information provided in the exempt appendices 1-5 which were attached to the submitted report.  It was noted that cost overruns on all four projects were experienced and the quantum of costs payable by the Combined Authority have now been established and agreed in principle with Network Rail for Kirkstall Forge, Apperley Bridge and LSSE.  In respect of Low Moor, discussions were continuing and it was proposed that the finalisation of this account and payment to Network Rail within the maximum funding envelope outlined in Appendix 1 be delegated to the Combined Authority’s Managing Director.

 

Resolved: 

(i)        That the Investment Committee recommends to the Combined Authority to approve the proposed final account and payment(s) with Network Rail for Kirkstall Forge and Apperley Bridge outlined in Appendix 2 and 3 to the submitted report, subject to receipt in writing of Network Rail’s acceptance of the terms.

(ii)       That the Investment Committee recommends to the Combined Authority to approve the final account and payment(s) with Network Rail for LSSE outlined in Appendix 4 to the submitted report, subject to receipt in writing of Network Rail’s acceptance of the terms.

(iii)      That the current status of discussions with Network Rail on Low Moor and the potential budget implications be noted and that the Investment Committee recommends to the Combined Authority to delegate authority to the Managing Director, in conjunction with the Chair of the Combined Authority, to conclude final account discussions and make the relevant payment(s) within the existing funding approval as detailed in Appendix 1 of the submitted report, subject to receipt in writing of Network Rail’s acceptance of the terms.

(iv)      That the Investment Committee recommends to the Combined Authority to approve the budget allocations and virements detailed in Appendix 1 of the submitted report.

67.

Minutes of the Meeting of the Business Investment Panel held on 6 March 2018 pdf icon PDF 111 KB

Minutes:

Resolved: That the minutes of the Business Investment Panel held on 6 March 2018 be noted.

68.

Draft Minutes of the Business Investment Panel held on 3 April 2018 pdf icon PDF 111 KB

Minutes:

Resolved: That the draft minutes of the Business Investment Panel held on 3 April 2018 be noted.