Category Archives: Local Enterprise Partnership

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2 Feb 2017

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Accountability, Austerity cuts, DCC, Dorset, EDDC, Golden Triangle LEP, Knowle/Honiton/Exmouth relocation, Local Enterprise Partnership, PegasusLife, Scrutiny, Sidmouth/ Sidford/ Sidbury, Somerset, Transparency

Relocation and local government reorganisation – a chance to save money!

What is currently more important in local government? Saving money, saving money by merger or being profligate? These seem to be the stark choices facing our district, with its reliance on the Local Enterprise Partnership for strategy, direction and funding.

Closer examination of the agenda for the next Cabinet meeting reveals that there are two references to local government reorganisation: at the bottom of page 111 and on page 115:

“Identify opportunities for rationalising/improving existing public sector governance arrangements and make recommendations to the constituent authorities/partners”

This appears to be a clear reference, as it not only refers to reform, but also says that the recommendations will go to ‘constituent authorities’. In other words we are not talking just about the LEP. The new Joint Committee clearly has mergers in mind. Add “Greater Exeter” into the mix and we come out with even more likelihood of massive changes. THEN add a mooted “Golden Triangle LEP” and we have a truly chaotic situation.

Owl wonders if these are circumstances in which to pursue a new HQ for EDDC at Honiton. Any proposal involving EDDC and avoiding building at Honiton can immediately claim to have made a minimum saving of £10 million plus interest payments, plus many associated costs – savings now being the mantra nowadays.

The relocation from Knowle could, in the above circumstances prove to be most expensive suicide note in the history of our district. And those EDDC members who waved through the move to Honiton, without the slightest idea of the cost, could in these circumstances be likened to turkeys voting for Christmas.

We have seen with the reorganisation in Dorset, that the reform and merger of local government authorities is very much in the air, and Dorset has been suggesting that the creation of two unitaries will lead to annual savings of many millions of pounds.

So it’s not surprising that things have gone very quiet with EDDC relocation. Firstly, there is local government reorganisation all around us and within our nearby city and the county. Secondly, the Pegasus deal for Knowle has seemingly gone very much on the back burner.

We have recently seen the formal separation – ‘decoupling’ – of the Exmouth Town Hall work from the Honiton proposal which seems to have had more to do with mothballing Honiton than it had to do with allowing Exmouth to proceed more quickly.

Work to refurbish Knowle is almost certainly millions of pounds cheaper than relocating. Plus, a new building in Honiton would immediately depreciate enormously on day one of occupation – 50% plus has been suggested.

Of course, PegasusLife could always put in a planning application for the Honiton site!

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2 Feb 2017

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Accountability, Devolution, Health and Social Care (local), Local Enterprise Partnership, NHS (local), Scrutiny, Transparency

Our Local Enterprise Partnership and the NHS (or not the NHS)

Comment turned into post:

“In the light of the concern over the future of the NHS it may be worth reminding ourselves just what Heart of the South West LEP proposed, on our behalf, in their 2015 Devolution Statement of Intent:

We [HOTSW] will:

• Increase productivity by reducing ill-health and reliance on the state

• Reduce overall need for formal health and social care services

• Reduce the cost of health and social care

• Help more people with long-term illnesses or mental ill-health start or return to work

What we need:

• Freedom to pool budgets and direct resources to local need

• Freedom to develop a commissioning framework that supports local decision-making

• Freedom to establish effective, integrated governance and delivery structures

• Freedom to develop local metrics and incentives

(The associated productivity prospectus says something which sounds even more sinister: “A healthier population means lower public sector costs and increased economic activity. To fill 163,000 more jobs [by 2030] we must engage the non-working population in the labour market which will require a significant health and care contribution.”)

Here is what the Public Accounts Committee concluded about LEPs and devolution in its report of 27 June 2016. (Kevin Foster MP, Conservative Torbay, is a Committee member)

“9. It is alarming that LEPs are not meeting basic standards of governance and transparency, such as disclosing conflicts of interest to the public.

LEPs are led by the private sector, and stakeholders have raised concerns that they are dominated by vested interests that do not properly represent their business communities. There is a disconnect between decisions being made by local business leaders and accountability working via local authorities.

It is therefore crucial that LEPs demonstrate a high standard of governance and transparency over decision making, at least equal to the minimum standards set out by government in the assurance framework.

It is of great concern that many LEPs appear not be meeting these minimum standards. The scale of LEP activity and the sums involved necessitate that LEPs and central government be pro-active in assuring the public that decisions are made with complete probity.

The fact that 42% of LEPs do not publish a register of interests is clearly a risk to ensuring that decisions are made free from any actual or perceived conflicts of interest. The varying presentation and detail of financial information across LEPs also makes it difficult to draw meaningful conclusions or make comparisons across LEPs on how they spend public money.”

https://www.publications.parliament.uk/pa/cm201617/cmselect/cmpubacc/296/29605.htm

The National Audit Office in a 2016 report also made the obvious, but crucial, point that LEPs do not yet have an established track record of delivery.

Our future is in their hands!”

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1 Feb 2017

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Accountability, Consultation, DCC, Devolution, EDDC, Local Enterprise Partnership, Scrutiny, Somerset, Transparency

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EDDC Cabinet to discuss devolution and LEP on 8 February … councils only “influence” LEP

From Cabinet agenda – Owl summary: it has taken 5+ years for the participating councils to realise that the business people on the LEP are running rings round them and still the only thing councils can do is “influence” those same business people:

“Risk implications will continue to be addressed at all stages of these proposals.

The Secretary of State is yet to formally clarify his position on the HotSW devolution proposal although the overall policy direction seems to be becoming clearer.

In the circumstances the Leader feel that the partnership needs to move forward with the priority development of the HotSW Productivity Plan and that this can best be achieved through the establishment of a formal Joint Committee in place of the current informal governance arrangements. This will put a formal governance structure around the Productivity Plan preparation, approval and delivery so minimising risk to the County Council and the other partner authorities. It will give partners the ability to negotiate with Government at pace, particularly on the emerging Industrial Strategy but without the statutory commitment required to establish a Combined Authority.

Without a Productivity Plan and Joint Committee in place the Council and its partners will be at a disadvantage in negotiating and lobbying Government on a range or policy initiatives including the growth agenda and are likely to miss out on potential funding streams.

…..

“The HotSW Joint Committee will provide a formal strategic partnership to complement and maximise the ability of local sub- regional arrangements to deliver their aspirations. It will allow the partners to collaborate to agree and deliver the Productivity Plan as well as engage effectively with the Government, other deal areas and other LEPs on a range of policy agendas. It will allow the partnership to test and improve its ability to work together as a potential precursor to the establishment of a Combined Authority at some point in the future. It will also provide a mechanism to work alongside and influence the LEP on strategic investment decisions affecting the HotSW area and to secure improvements to LEP governance and accountability.”

Click to access combinedcabagenda080217final.pdf

(topic begins on page 107)

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30 Jan 2017

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Devolution, Economy, Golden Triangle LEP, Greater Exeter, Hinkley C, Local Enterprise Partnership, Somerset

Another problem for our Local Enterprise Partnership?

Perhaps partnering with Somerset, with its massive reliance on Hinkley C is not such a good idea.

“Forging a trade deal with the European Union must be Britain’s top priority in negotiations, because the bloc is the largest export market for 61 of 62 of the nation’s cities, a think-tank has said. …

…”The West of England is disproportionately reliant on exports to the EU, with the great majority of total exports from cities in the region destined for the bloc. Out of all cities in the UK, the top three cities in terms of their dependence on EU exports are Exeter (70%), Plymouth (68%) and Bristol (66%).

The least dependent city in the UK is Derby, which still sends almost half (48%) of its exports to the EU, followed by Hull (29%).”

http://www.publicfinance.co.uk/news/2017/01/eu-dependent-cities-need-trade-deal-after-brexit-centre-cities-says

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26 Jan 2017

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Accountability, Democracy, Devolution, Local Enterprise Partnership, Scrutiny, Transparency

Those LEP Board jobs …

“Board Members must declare any involvement with any of the delivery partners or roles or interests with beneficiaries and operate in accordance with the Nolan Principals of public life and the company’s Articles of Association.

This will involve taking no part in any decision votes where an interest exists. The adoption of the Nolan Principals ensures full openness and integrity in the way the Board sets its priorities.

These roles are un-remunerated. Expenses are only paid for exceptional expenditure for LEP commitments outside our area.

Click to access HotSW-LEP-CIC-Director-Final.pdf

The only problem is – we don’t get to know who voted on what, who declared an interest and why and who abstained – as the public record of meetings ( notes rather than minutes) do not record them.

Not to mention that agendas are not explicit – try to find the agenda item or minutes of the 26% salary increase for the LEP CEO – good luck and good hunting!

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26 Jan 2017

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Accountability, Devolution, Economy, Local Enterprise Partnership, Transparency

Your LEP needs you … but only if your face fits

“The Heart of the South West Local Enterprise Partnership is seeking up to seven new private sector non-executive directors.

The positions will become vacant this year when a number of existing directors come to the end of their six-year terms.

Since its establishment in 2011, the LEP has developed a £500million investment pipeline to support its mission to deliver better jobs and prosperity across Devon, Plymouth, Somerset and Torbay. [Take this with a pinch of salt … it is LEP member companies rather than the LEP board]

The business led partnership includes representatives of the private sector, local authorities, universities and colleges.

It is now looking for candidates with a strong business background at a senior level, with the skills and vision to help shape the economic prosperity of the area.

LEP chairman Steve Hindley, of Midas Group, said: “This is a fantastic opportunity for local business leaders to actively contribute to the next phase of our development and benefit our economy and communities.

“If you are a business or social economy leader with passion and expertise, please contact HotSW LEP with a view to joining us on our journey towards delivering prosperity for Devon, Plymouth, Somerset and Torbay.”

The non-executive directors will be required to attend board meetings once every two months and periodic meetings or events across Devon and Somerset.

The deadline for applications is Tuesday, February 14. Details at heartofswlep.co.uk/news.

http://www.exeterexpressandecho.co.uk/heart-of-south-west-local-enterprise-partnership-seeks-new-non-exec-directors/story-30088745-detail/story.html

Here are a few of the attributes you need, gleaned from the”Candidate Pack”:

Experience

You will possess credible business links and relationships in our area, ideally including working at a senior level alongside or with business representative organisations, business growth or skills partnerships and / or relevant business support service businesses or voluntary or social enterprise groupings.

You will have senior / owner level business experience within one of the HotSW area’s largest business sectors (such as Business Services, Tourism or Agriculture) or in a growth sector identified in our Smart Specialisation strategy (such as Marine, Aerospace, New nuclear, Agri-tech, Environmental Technologies, Big-data, High Tech / Manufacturing industries). Housing, transport, innovation, people, environmental, health or rural agendas as well as commercial and infrastructure development also form key focuses for our work and would be an equally valuable background.

Throughout the Selection Process, you will be required to provide relevant examples of where you can contribute to the needs of the LEP and its sub-committees (as outlined above) by bringing your expertise to the NED role and so demonstrate the specific value you can bring to the LEP.

You will have a proven track record of organisational leadership and experience of being a Board Member or in a leadership role of a private sector business or social enterprise that is significant in its field or of having actively contributed to a business representation organisation or voluntary or social enterprise groupings.

You will have a demonstrable association or interest with the HotSW economy and act with a collaborative approach able to develop and maintain effective business relationships to deliver strategic vision.

You will possess a strong political acumen with a clear understanding of both local and national politics to help promote the HotSW LEP.

In addition to the above we will be looking for 2 specific directors with experience of:

Chairing audit committees and managing risk, large projects, transformational change or programme finances

Marketing and promotion – and the utilisation of new / social media.”

Click to access HotSW-LEP-CIC-Director-Final.pdf

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26 Jan 2017

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Economy, Hinkley C, Local Enterprise Partnership, Post-Brexit Adjustments

“Number of benefits claimants in South West up nine per cent since Brexit vote”

“Newly released employment figures for the South West of England between June and December 2016 suggest that the public are losing confidence in the job market following the historic decision to leave the European Union.

The percentage of people claiming unemployment benefits has risen by 9% in the South West of England, suggesting that the public are finding it difficult to succeed in the job market as the uncertainty of Brexit looms.

South West MPs have recently condemned Theresa May’s plan to leave the single market during her Brexit speech. Ms McCarthy and Ms Debbonaire labelled the approach, “one of self-harm, not statesmanship” and went on to state, “Businesses large and small in our constituencies would suffer, jobs would be lost and prices in the shops would rise.”

The coming months will be key for the prosperity of the job market in the South West, as the Government outline their ‘hard’ Brexit strategy.”

http://www.exeterexpressandecho.co.uk/number-of-benefits-claimants-in-south-west-up-nine-per-cent-since-brexit-vote/story-30088438-detail/story.html

But worry not! Our Local Enterprise Partnership, charged with ever-increasing growth, will no doubt have a plan – probably involving Hinkley C!

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24 Jan 2017

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Accountability, Austerity cuts, Devolution, Hinkley C, Local Enterprise Partnership

“Brexir risks pushing up Hinkley cost, EDF warns

A correspondent has drawn attention to the latest article by Emily Gosden, Energy Editor, The Times on emerging nuclear projects. The elephant in the room exposed by this article is, contrary to the impression generated by our LEP that Hinkley provides the “Golden Opportuity” for local growth, these projects rely on a ready supply of European and International labour, expertise, goods and services.

In these circumstances, is it wise of our LEP to put all its ( glowing green?) eggs in one basket? No doubt those LEP board members with nuclear interests, training for the nuclear interests and developing housing around the site (at least half the board) will say yes.

But would that be in Devon’s best interests?

“BREXIT RISKS PUSHING UP HINKLEY COST, EDF WARNS
“EDF has raised the spectre of delays or cost overruns to its £18 billion Hinkley Point nuclear plant as a result of Brexit, warning that any restrictions to trade and movement of labour could hamper the delivery of energy projects.

The French state-controlled company said Britain would have to import goods and skilled labour from around the world in order to make the “very substantial investments in new infrastructure” needed to keep the lights on.
“There is a risk that restrictions on trade and movement of labour will increase the costs of essential new infrastructure developments and could delay their delivery,” it said in a submission to MPs on the business, energy and industrial strategy select committee.

Although EDF did not mention Hinkley Point, it said Britain’s import requirements would include “critical goods and services in the nuclear supply chain and specialist nuclear skills”. Hinkley Point is the only new nuclear power station to have been given the go-ahead in the UK.

The plant, which was once expected to start generating in 2017, was eventually signed off by the government last autumn, with a revised start-up date of 2025. Ministers hope that it will be the first in a series of new nuclear projects, with Hitachi’s Horizon venture developing plans for reactors at Wylfa on Anglesey, and the Toshiba-Engie joint venture NuGen working on a project at Moorside in Cumbria.

However, in its submission to the committee, the Nuclear Industry Association (NIA) warned that potential changes as a result of Brexit could also jeopardise these projects.

It said investments may not be forthcoming unless there was stable energy policy, clarity on the market and in particular “confidence that there will be continuing access to skills, both specialist nuclear skills from European/International companies and construction labour and the easy supply of goods and services across EU borders”.

NuGen and Horizon are struggling to secure financing and are understood to be in talks with the government about potential direct investment in their projects. Toshiba is under particular pressure after making huge writedowns on its US nuclear business.

The government yesterday highlighted the nuclear industry as a key part of its industrial strategy, appointing NIA chairman Lord Hutton of Furness to “oversee work to improve UK competitiveness and skills in nuclear”.”

Times Newspapers (paywall)

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23 Jan 2017

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Accountability, Devolution, Local Enterprise Partnership, Scrutiny, Somerset County Council, Transparency

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How to contact our Local Enterprise Partnership (but don’t send them a letter)

Owl thinks that our Local Enterprise Partnership’s contact details need a wider audience, especially as its CEO, Chris Garcia, has just had a 26% salary increase as it must be a VERY IMPORTANT organisation.

We know from Devon County Council that it has 4 full-time officers ( though we have no idea where they are based) and “a few” part-time employees ( though it does employ a lot of consultants).

We also know that its books are kept and audited by Somerset County Council – though they are not available for public inspection or scrutiny.

Here is a list from their web presence of how you can contact them – there is also a web contact form. But note they do not pick up their snail-mail very often – not good news for anyone they owe money to who sends them a paper bill ( perhaps because they have no rural broadband where they live, for example):

“You can contact us in the following ways:

By email: info@heartofswlep.co.uk

By telephone: 01935 385977 – The LEP’s reception service is provided by Yeovil Innovation Centre, supported by South Somerset District Council. Our partners who provide this service will forward any messages to the relevant contacts at the LEP.

Contact Helena Davison, LEP Communications Manager
Telephone: 07525 806333
Email: helena.davison@heartofswlep.co.uk

Inward investment enquiries
Contact Julia Stuckey, LEP Inward Investment Manager
Telephone: 07920530880
Email: julia.stuckey@heartofswlep.co.uk

Contact by post
Heart of the South West LEP, PO Box 805, Exeter, EX1 9UU
(Please note this PO Box is not regularly monitored and email contact is the recommended way of communicating with HotSW LEP.)”

http://heartofswlep.co.uk/contact-us/

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22 Jan 2017

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Accountability, DCC, Devolution, Local Enterprise Partnership

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LEP: in 2014 Devon County Council appears to admit it had no idea how much the LEP spent

Devon County Council Freedom of Information response in 2014:
Requested: 4 September 2014
Date of Disclosure: 2 October 2014

“Heart of the South West Local Enterprise Partnership is an organisation that Devon County Council works with, along with other Local Authorities. Devon County Council is not aware of what monies have been spent by the LEP. As Somerset County Council is the accountable body for the Local Enterprise Partnership, I suggest that you contact Somerset directly for this information.”

Click to access Information%20Request%20IR1750064.pdf

It then gives a link:
http://www.somerset.gov.uk/information-and-statistics/freedom-of- information/freedom-of-information-requests/

which is no longer live and ends:

“If you wish to speak with someone regarding the above request, please contact the Information Governance Team on 01392 383445 or email accesstoinformation-mailbox@devon.gov.uk”

Source: Alan White, South Devon Watch Facebook page

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20 Jan 2017

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Accountability, Austerity cuts, Devolution, EDDC, Health and Social Care (local), Local Enterprise Partnership, NHS (local)

And, yes, our LEP does have a hand in health cuts – and not in a good way

“The Prospectus promises that if local partners have greater freedom to act, by 2030 they will … Support the changes to our health and care system by galvanising and aligning resources across the whole system.”

(Last sentence of the document)

Click to access Issue11HeartoftheSouthWestStakeholderBriefing__545057.pdf

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20 Jan 2017

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Accountability, DCC, Economy, EDDC, Local Enterprise Partnership, Somerset County Council

“East Devon sees biggest job claimants rise in county”

“The county-wide figure increased by 58, compared with the previous month, taking the total claimant count to 2,918.

The increase included an additional 24 claimants in East Devon.”

http://www.midweekherald.co.uk/news/east_devon_sees_biggest_job_claimants_rise_in_county_1_4856861

Our Local Enterprise Partnership is charged with improving our economy … you know, the one that’s just given its Chief Executive a 26% payrise … the one who supervises 4 full-time staff and a small number of part-time staff. The one that Devon County Council and Somerset County Council opposed but went ahead anyway as it is the businessmen that control it as a majority.

What is the point of Somerset County Council being the LEP’s audit authority if it can’t prevent this sort of thing?

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19 Jan 2017

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Accountability, Affordable and Social Housing, Consultation, Democracy, EDDC, Greater Exeter, Local Enterprise Partnership, Local Plan, Neighbourhood Plans, NPPF, Planning System, Sustainability, Transparency

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Greater Exeter: only 5 EDDC councillors get decision-making powers -and its another forum!

“A joint informal advisory reference forum is set up consisting of 5 councillors each from Devon, East Devon, Exeter, Mid Devon and Teignbridge to consider and make comments on draft plan proposals before they are formally considered by each council.”

AND it links seamlessly into Local Enterprise Partnership plans … none of which have been put out for public consultation:

“Role of the joint plan and relationship with other plans

o Setting out the overall scope of the plan and how it can support other related strategies such as the Local Enterprise Partnership’s policies and the results of the devolution discussions. How it relates to the existing and proposed new local plans prepared by each council and with Neighbourhood Plans. Duty to cooperate discussions.”

AND it is all-encompassing:

‘Plan Strategy
o Description of the overall strategy which best meets vision and the challenges facing the area. Covering the big ticket themes of where and how many homes and jobs are needed, how key environmental assets will be protected and enhanced and the need for new and improved infrastructure.

Strategic Settlements and area strategy and functions

o The implications of the vision and strategy for each of the main settlements and the
plan area as a whole. Setting out the key planning functions and role of these.  Strategic Development Proposals
o The strategic development sites allocated in this plan to meet the strategy and other area’s needs. Implications for the remaining district/city level local plans’ allocations.

Strategic Policies

o Homes – setting the strategic targets for the objectively assessed need for housing,
and considering the need for specific types of housing (including affordable, student,
custom build and accessible homes).
o Economy – considering forecast economic performance and how the plan can
guide/improve. This is likely to include consideration of particular economic sectors (and in particular the evolving role of the knowledge economy and innovation), the protection of key economic assets across the whole plan area.
o City and Town Centres – giving the overall approach to the need and best locations for retail, leisure and other “main town centre uses” taking account of the existing “hierarchy” of town and city centres in the area.
o Environment – policies concerning issues including climate change, air quality, flooding, protection of European sites, other strategic landscape and biodiversity matters and heritage protection.
o Community infrastructure – policies and proposals for the provision of community facilities and infrastructure, including information, smart systems and broadband.
o Quality of development – improving the design of new development, including consideration of density and space standards.
 Implementation, delivery and monitoring – proposals to ensure that policies and proposals happen on the ground and how their success will be measured.”

AND ordinary councillors (including Tories) will be frozen out of decision-making:

“It is recognised that it might be difficult for the wider council membership to input into a joint plan through the normal committee/council channels.

It is therefore proposed that member input is provided for in two additional ways.

Firstly, it is proposed that a joint informal advisory reference forum is set up, consisting of 5 councillors from each of the five authorities (total 25 members). There would be an expectation that the councillors from each authority would be politically balanced. This joint forum would consider plan drafts and comment upon them before they are finalised and presented to the meetings of the individual councils. Secondly, officers will run member briefings before each formal committee cycle to allow all councillors to review and comment upon draft plan contents and proposals. This would help to ensure that councillors’ views can be considered before proposals are finalised.

Members should note that there is a separate proposal to set up a Greater Exeter Growth and Development Board as a formal joint committee to consider economic and other related matters across the area. This has been agreed in principle by Exeter and Teignbridge and will be considered by East Devon and Mid Devon (note that Devon County have confirmed their wish not to be involved in such a joint committee at this stage, although this does not undermine their commitment to the GESP). It is envisaged that the member steering group referred to above would have a role reporting on plan progress and strategy to the joint committee. This does not affect the recommendation referred to above to prepare the GESP under Section 28.”

Click to access 170117-combined-strategic-planning-agenda-compressed.pdf

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18 Jan 2017

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Accountability, DCC, Devolution, EDDC, Local Enterprise Partnership, Scrutiny, Sleaze, Somerset County Council, Spin, Transparency

Lib Dems object to Local Enterprise Partnership CEO 26% payrise but there is nothing they or we can do about it

“The row over a £24,000 pay rise for the boss of a publicly funded enterprise partnership has deepened, with opposition councillors calling for Devon County Council to quit the body “until common sense prevails”.

It comes after the board of the Heart of the South West Local Enterprise Partnership approved a 26 per cent pay rise for its chief executive on Tuesday, January 17.

It means Chris Garcia, who is employed through Somerset County Council, will earn £115,000 a year for his role helping to promote economic growth in Devon and Somerset.

Unison’s Devon County branch secretary, Steve Ryles, branded the pay rise “absolutely disgraceful” at a time when pay increases for council workers have been capped at one per cent.

Now Devon’s Liberal Democrat councillors have submitted a motion calling on the county council to use whatever means it can to stop the pay rise being implemented.

Cllr Alan Connett, shadow leader of the council, said: “At a time of ever tightening pressure on the public purse and yet more cuts in council services in the region, it is our view that the 26 per cent pay rise sends the wrong message to people when they face rising council tax bills and, for some, cuts in council tax benefit schemes which help the poorest.

“As a matter of genuine urgency, the board of the Local Enterprise Partnership should reconsider the pay rise it has awarded.”

The motion, proposed by Councillor Connett and seconded by Councillor Brian Greenslade, states: “At a time of huge reductions in Government funding for local councils forcing cuts in health, education, care for older people and children, Devon County Council is offended by the reported 26 per cent pay rise for the chief executive of the Heart of the South West Local Enterprise Partnership.

“We call upon the council to take urgent steps to stop the annual pay rise of £24,271 and if it cannot do that, to withdraw from membership of the partnership until common sense prevails with regard to top management pay increases.”

Businesses, universities and local authorities are represented on the LEP board, including East Devon District Council and Devon County Council.

Asked how the proposal came about, the spokeswoman said: “The recommendation was made jointly by the chairs of the LEP board and of the LEP Finance & Resources Committee, in the interests of enabling the LEP to continue its momentum of success towards delivering its strategic economic plan.”

The LEP is chaired by Steve Hindley, chairman of Exeter-based construction firm Midas Group.

Before Tuesday’s board meeting in Tiverton, Devon County Council leader John Hart said: “As a local authority subject to significant government cuts, I cannot support a pay rise of 25 per cent for any high-level official.

“It is clear the CEO does a good job and the LEP has brought many millions of pounds into the Devon economy. But there has to be recognition of the tight financial times in which we live.”

A county council spokesman said on Wednesday the authority would be making no further comment on the matter.

The motion will be considered at the council’s budget and council tax setting meeting on Thursday, February 16.”

A spokeswoman for the LEP said it would not be releasing a breakdown of how board members voted on the CEO’s pay“

http://www.exeterexpressandecho.co.uk/lib-dems-condemn-24-000-pay-rise-for-devon-and-somerset-enterprise-chief/story-30069142-detail/story.html

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18 Jan 2017

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Accountability, Austerity cuts, Devolution, Local Enterprise Partnership, Scrutiny, Somerset County Council, Transparency

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Somerset County Council (lead authority for LEP scrutiny) has its own problems!

“Somerset Liberal Democrats’ Press Release, 26 September 2016:

Tories sit by whilst County Council faces Bankruptcy.

“The County Council’s finances are in a dire situation.”

Today, 26th September, the Conservative Cabinet running Somerset County Council have been discussing the possibility of declaring the Authority bankrupt. In the Revenue Outturn report the County Finance Director has informed the Cabinet that he may have to invoke Section 114 – which will mean that they have to bring in immediate savings to rectify the dire financial situation. The Government would also be advised that the County Council may not be able to pay all its bills! …

…“They have made Somerset County Council into a commissioning council, which has outsourced over £1 billion of contracts, with no real political control over the costs or the outcomes. The Tories have tied us into contracts for services we longer need. Indeed, far too many contracts, which gives the Council no flexibility on finance at all.”

“The Conservative Cabinet have had no long term thinking nor have they acted strategically, but have introduced damaging cuts in a salami slicing way, that have badly damaged valuable and useful services, causing the death of the Council by a thousand cuts. …

… “The Section 151 Officer [see also post below] has raised the spectre of Section 114 and the need for the Cabinet to now make further drastic cuts. And they are doing nothing to increase income generation within the Council, nor are they developing our good services into winning services across the South West.”

http://adamboyden.mycouncillor.org.uk/2016/09/28/somerset-county-councils-22m-overspend/

And this is the council watching over our LEP!

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18 Jan 2017

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Accountability, Democracy, Devolution, Local Enterprise Partnership, Scrutiny, Somerset County Council, Transparency

LEP “minutes” of 17 January 2017: interesting highlights

[The elephant in the room – the CEO’s 26% payrise – does not appear to be mentioned but it might be item 8 – see below]

THEY ARE LOOKING FOR SEVEN NEW PRIVATE SECTOR BOARD MEMBERS

“To commence the open recruitment process in January 2017 for up to 7 new private sector board directors following the anticipated retirement of a number of directors in 2017 in accordance to the process agreed in July’s Board meeting.”

How open?

ONE ORGANISATION BEING FUNDED IS BEING NAUGHTY

“Within this protocol [simply called “Amber Protocols, no other information], there is one project which have failed to satisfy their conditions of funding approval / funding agreement. They will be written to and given two weeks to remedy their position.”

Which organisation?

THERE IS AN UNSPECIFIED SURPLUS WHICH SOME SORT OF OFFICER IS GOING SORT OUT ….

“The LEP will approach SCC 151 officer to review how surplus funds can be used productively.”

HOWEVER at least in March 2016 it appears that Somerset County Council had opted to break the rules about this Section 151 Officer:

“Full Council on two occasions (most recently November 2015) has considered the implications of the Local Authority (Standing Orders) (England) (Amendment) Regulations 2015 which amend the statutory protection provisions for the posts of Chief Executive, Section 151 Officer and Monitoring Officer. On both occasions the Council agreed to leave the existing constitutional provisions unchanged because of concerns over the requirements of the regulations. In deciding not to make any changes the Council recognised that this carried a risk as the Council’s arrangements would be non-compliant until such time as alternative provisions were agreed. Acting on the advice of the Somerset Monitoring Officers Group (SMOG) all 6 councils in Somerset have agreed to remain non-compliant with the regulations pending hoped for clarity from the Government in relation to the requirements. This has not been forthcoming so SMOG has designed and is recommending a local solution that meets the known requirements of the regulations and avoids those elements of the regulations that are causing concern.”

IS THIS THE PAYRISE? WHO KNOWS!

“8. Board Paper for Special Board Meeting of Directors:

“The LEP Board agree to the recommendations in the paper.”

SOURCE:

Click to access LEP-Board-Agenda-17-Jan-2017-V-5-1.pdf

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18 Jan 2017

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Accountability, Austerity cuts, Democracy, Devolution, Local Enterprise Partnership, Spin, Transparency

This is what happens when you get an elected Mayor

“TORBAY mayor Gordon Oliver has pledged to continue funding a £40,000-a-year ‘American office’ despite the fact it has failed to attract any investment to the Bay.

As other vital budgets are being cut, councillors branded the £120,000 already spent as ‘a waste of money’.

Mayor Oliver said he wanted to re-establish the American office in the light of Donald Trump’s recent election victory.

The aim of the ‘our man in America’ initiative, launched by Torbay Council and Torbay Development Agency was to encourage ‘Silicon Valley’-style businesses in the US to consider Torbay both for trade connections and as an ideal location for a foothold in the European market. But at the recent Torbay Council policy group meeting — where scrutiny members made recommendations on the mayor’s proposed budget — there were calls not to repeat the £40,000-a-year funding.

And it was revealed the American office has so far failed to attract any funding.

The contract for the USA lead generation has now expired and members said it should not be renewed. Cllr Chris Lewis, scrutiny board chairman, said while they did not want the budget for the ‘vital’ work done by Torbay Development Agency on economic regeneration reduced, it should still look to make savings.

But at the Torbay Business Forum business breakfast, mayor Oliver said he hoped to re-establish an office in the United States, particularly in the light of Donald Trump’s election as president.

“I am hoping the TDA and the council will support it though some of my colleagues are not very supportive. “But I had a letter from the Prime Minister saying she supports my bid to have a link with the United States as it is so important for the future of the national economy and for here as well.”

A council spokesman said: “Torbay Council does not have and has never been in possession of an American office. A contract was procured by the TDA on behalf of Torbay Council with the England Development Agency to generate leads for new direct investment from North American businesses.

“However, this contract expired in July this year and hasn’t been extended or re-procured.”

http://www.exeterexpressandecho.co.uk/council-will-keep-funding-40-000-a-year-man-in-america-despite-zero-investment-in-four-years/story-30067568-detail/story.html

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Accountability, Austerity cuts, DCC, Democracy, Devolution, EDDC, Local Enterprise Partnership, Paul Diviani, Scrutiny, Sleaze, Transparency

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That 26% payrise for LEP chief: neither Devon nor Somerset County Councils could stop it

So, here we are: Somerset County Council theoretically holds the purse strings – except it obviously doesn’t! There is no scrutiny or transparency, no way of stopping this juggernaut that we have never been consulted about.

AND we have no way of knowing how Diviani voted – the LEP doesn’t release such information.

“Chris Garcia, chief executive of the Local Enterprise Partnership (LEP), could see his pay jump nearly 27% from £90,729 to £115,000. [This was agreed today with the two councils objecting].

“Somerset council leader John Osman said: “The pay of £90,000 is already too much so I believe it should be at least 10% less than that.”

The LEP has declined to comment.

The LEP covers the Somerset, Devon, Torbay and Plymouth council areas.

‘Cannot afford 25%’

The pay rise is being proposed by board members who are councillors, lawyers, and business leaders.

“I’m sorry to say that in the public sector we are not about giving 25% pay rises – even if you are very good at your job, we cannot afford 25%,” added Mr Osman.

LEPs are partnerships between businesses and local authorities, which were set up in 2011 by the coalition government.

Their aim is to grow the local economy and support businesses in the region.
“The budget of the LEP itself, operationally, is £1.6m. It has four full-time members of staff and a few others who work part-time.

“If you’re comparing it to how I come up with my council salaries and how the NHS has to come up with their salaries, you will find that this position is overpaid for such a small budget and such small numbers of staff,” said Mr Osman.

Both Somerset County Council and Devon County Council representatives are expected to vote against the proposals at the meeting being held later.”

http://www.bbc.co.uk/news/uk-england-somerset-38648435

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“Council fails to block 26 per cent pay rise for Devon and Somerset enterprise partnership boss”

“The controversial proposal was approved by the LEP board at a meeting in Tiverton on Tuesday, January 17.

Devon County Council had signalled that its representative on the board, Councillor Andrew Leadbetter, would vote against the proposed pay award in light of “the tight financial times in which we live”. …

… East Devon District Council leader Councillor Paul Diviani sits on the LEP board. The council has yet to confirm how he voted on the pay proposal. Before the meeting, a council spokeswoman said: “Councillor Paul Diviani is a member of the board and he will participate in the debate and will vote as he sees fit.”

http://www.exeterexpressandecho.co.uk/council-fails-to-block-26-per-cent-pay-rise-for-devon-and-somerset-enterprise-partnership-boss/story-30064539-detail/story.html

BUT

“… “We agreed to set up a joint committee and continue working together to see how best we can look at the issues facing Devon and Somerset,” he said.

“Nothing is moving forward at the moment but I’d like to think we are still on track; it’s more a case of keeping our foot in the door.”

http://www.northdevongazette.co.uk/news/councils_are_keeping_a_foot_in_the_door_on_devon_and_somerset_devolution_deal_1_4851827

So what is Mr Garcia being paid 26% extra FOR?

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Devolution: one foot in the door or one foot in the grave?

“Councils are ‘keeping a foot in the door’ on Devon and Somerset devolution deal

Bid for devolved powers is ‘still on track’ but fresh concerns raised about amount of money being offered to take on new responsibilities.

Councils are still working together to broker a devolution deal for Devon and Somerset, according to North Devon Council leader Des Brailey.

Efforts to devolve powers to the two regions has hit a critical stage in recent weeks after the Government revealed its preference for an elected major – and after it emerged that Plymouth, Exeter and Torbay were exploring opportunities to launch a rival bid.

But speaking following a crunch meeting with other Heart of the South West (HotSW) partners in Cullompton on Friday, Mr Brailey said that while the rival bid had the potential to ‘weaken’ the HotSW bid, he thought the process was ‘still on track’.

“We agreed to set up a joint committee and continue working together to see how best we can look at the issues facing Devon and Somerset,” he said.

“Nothing is moving forward at the moment but I’d like to think we are still on track; it’s more a case of keeping our foot in the door.”

But Mr Brailey reiterated his opposition for an elected mayor and voiced fresh concerns that the money being offered to successful bids might not be sufficient.

“As we understand it the Government is offering £15million in other areas with an elected mayor and that’s clearly not a lot of money when spread between 22 authorities.

“Even if they doubled it to £30m it is still not a lot of money.

“The Government will say here is your money and these are your new responsibilities. That’s not a problem if the money matches the responsibilities and gives you an opportunity to run things better for the community.

“But I fear that the money won’t be sufficient for North Devon to carry out the Government’s wishes.”

And Mr Brailey said there could be even less money without an elected mayor.

“The stakes have changed very slightly,” he said.

“It’s now being suggested that without an elected mayor we won’t get a lot out of it.

“I think it would disenfranchise our area – there is no chance it would be a mayor from northern Devon.

“He or she will be able to make their own decisions that may or may not be of benefit to us. I believe we would be a poor relation.

“And we are talking about a fourth level of local government and clearly people are going to ask what’s going on – it’ll be another tier of government complete with an entourage.”

The devolution bid would see the creation of a new body to take decisions on issues such as transport, education and health at a regional level and not a national one.

Together, the 17 local authorities, both national parks, the local enterprise partnership and all three clinical commissioning groups submitted a Prospectus for Productivity to the Government last year.

In October, they gave their in-principle approval to set up a combined authority to support the deal and the creation of a joint committee is seen as a precursor to a new combined authority.

Also speaking following Friday’s meeting, Devon County Council leader John Hart said: “All the leaders agreed on Friday to ask their councils to support the creation of a joint committee to drive this plan forward.

“It was re-emphasised that we need a strong regional voice to ensure the Government delivers the resources we require to improve our roads, rail and other infrastructure so we can boost productivity and enhance the job opportunities and living conditions of our people.”

http://www.northdevongazette.co.uk/news/councils_are_keeping_a_foot_in_the_door_on_devon_and_somerset_devolution_deal_1_4851827