Agenda, decisions and minutes

Apologies were received from:-

·       Councillor Mark Pritchard (Wrexham County Borough Council) (Vice Chair)

·       Professor Edmund Burke (Bangor University) with Chris Drew deputising;

·       Professor Joe Yates (University of Wrexham)

·       Yana Williams (Coleg Cambria)

·       Aled Jones-Griffith (Grŵp Llandrillo Menai)

·       Neal Cockerton (Flintshire County Council) with Andrew Farrow deputising;

·       Dafydd Gibbard (Cyngor Gwynedd) with Llyr Beaumont Jones deputising.

·       Gareth Ashman and Susan Concoran (UK Government Observers) with John Hawkins deputising.

The Chair welcomed the deputies to the meeting.

Robyn Lovelock (Growth Deal Programme Manager) was thanked for her significant contribution to the work of the Ambition Board over several years, as she attended her last meeting. Good wishes were expressed to her for the future.

Expressions of good wishes were shared to Llinos Medi (former Leader of Anglesey County Council) after her recent success at the General Election. She was thanked for her contribution to the Board during her tenure as Councillor and was wished every success in the future. ⁠

To receive any declarations of Personal Interest

A declaration of personal interest was received from Chris Drew (Bangor University) for Item 11. It was noted that it was a prejudicial interest, and he withdrew from the meeting for the item. ⁠

No urgent matters were raised.

The Chair shall propose that the minutes of the meeting held on 14 June 2024 be signed as a true record.

The Chair signed the minutes of the previous meeting held on 14 June 2024 as a true record.

Hedd Vaughan-Evans (Head of Operations) to present the report.

1.     To consider and note the Quarter 1 Performance Report and updated Portfolio Risk Register.

2.     To approve the Quarter 1 Performance Report to the Welsh Government and UK Government, as well as the local authority scrutiny committees.

The report was presented by the Head of Operations with the support of Ambition North Wales officers.

RESOLVED

1.     To consider and note the Quarter 1 Performance Report and the updated Portfolio Risk Register.

2.     To approve the Quarter 1 Performance Report to the Welsh Government and UK Government, as well as the local authority scrutiny committees.

REASONS FOR THE DECISION

Quarterly reporting on progress against the North Wales Growth Deal is one of the requirements of the Final Growth Deal Agreement. Following consideration by the Ambition Board, the reports will be shared with the Welsh Government, UK Government and the local authority scrutiny committees.  ⁠

DISCUSSION

Members were guided through the Ambition North Wales updates and the following programmes were specifically highlighted:

The Digital Programme

Pride was expressed that an Outline Business Case for '4G+' Linked Sites and Corridors had been approved by the Board in March. It was explained that the development of a Full Business Case including preparations for market engagement has already begun. ⁠

It was noted that the Gateway 2 Review on the Outline Business Case of the Connected Campuses Advanced Wireless scheme had been completed in May. It was confirmed that the project had received an Amber rating, and it was stressed that work was under-way to address the recommendations prior to the presentation of the Outline Business Case to the Board in September. ⁠

Reference was made to a number of regional projects under way to support SMEs to research new technologies and improve broadband connectivity in local communities. It was noted that these projects were funded by the Shared Prosperity Fund. ⁠

Low Carbon Energy Programme

It was stated that the Bangor University-led 'Egni' project was making good progress. It was noted that RIBA Phase 3 was ready to be signed off and it was hoped that a Full Business Case would be presented to the Board in the spring. Similarly, it was confirmed that positive progress has been made to overcome key issues relating to the Deeside Anaerobic Digestion Project funding agreement, before submitting the Full Business case to the Board for consideration. ⁠ ⁠

It was noted that there was positive co-operation with the Welsh Government to realise the Holyhead Hydrogen Hub project. It was explained that the project hoped to strengthen the offtake purchase position for Hydrogen before moving on to the next step. ⁠

It was confirmed that the Fund's Advisor tender documents attached to the Smart Local Energy project was currently being finalised, together with the timetable for the launch of the tender and review of submissions - these were currently being planned.

Land and Property Programme

Reference was made to several programme projects including Warren Hall, Western Gateway, Former North Wales Hospital, Parc Bryn Cegin, Wrexham Gateway and Holyhead Port.

It was explained that Stage Fifty Ltd, developers of the Kinmel Studios project, had been placed in administration in early April 2024 by their main funder. It was stressed that the proposed discussions had taken place between Ambition North Wales  ...  view the full minutes text for item 5.

Dewi A Morgan (Statutory Finance Officer) and Sian Pugh (Host Authority Assistant Head of Finance) to present the report.

To accept and note the Ambition Board's Draft Statement of Accounts (subject to audit) for 2023/24.

The report was presented by the Statutory Finance Officer.

RESOLVED

To accept and note the Ambition Board's Draft Statement of Accounts (subject to audit) for 2023/24.

REASONS FOR THE DECISION

The Board is not statutorily required to approve the draft version of the Joint-Committee's Statement of Accounts, but we consider that presenting the draft statement for information to be good practice to be followed.

The Board will need to approve the final version following receipt of the Audit Wales report, and the submission of the draft now was an opportunity for Board members to consider the content and enquire the financial officers about the content. This was an opportunity for Members to equip themselves with relevant information to consider relevant risks, and other matters that would be subject to audit, in their context. ⁠

DISCUSSION

Members were reminded that the information presented in the report had already been shared in an alternative form at a board meeting on 17 May this year when considering the Ambition Board's Revenue and Capital Out-turn position for 2023/24, and Members were reminded of the decisions made. It was stressed that the information presented in this Report was consistent with that information. ⁠

It was explained that the Report presented technical issues relating to accounting conventions. Reference was made to the various sections of the Departments detailing on capital expenditure, fund balances and total grants received up to 31 March 2024. ⁠

It was confirmed that the value of the pension assets continued to exceed the value of the commitments. It was elaborated that there was a net asset position of £404,000 at the end of the financial year. This was recognised as a decrease from the previous year where the net asset position of pensions assets was £572,000. It was explained that there was a reduction this year as actuary prices used UK corporate bonds. It was noted that the yield of the corporate bonds has been high as a result of high interest and high inflation, resulting in higher accounting discount rates which placed a significantly lower value on the asset as a result of high interest and inflation of pension additions. The value of the asset on the balance sheet was confirmed and shown as £0 as directed by the actuary. ⁠ ⁠ ⁠ ⁠ ⁠

It was reported that the Statutory Finance Officer signed the Statement on 21 June 2024 and testified that he considered it had been prepared in accordance with the code of practice laid down by the CIPFA Code of Practice on Accounting for Local Authorities. It was believed that the statement presented a true and fair picture of the financial position of the Ambition Board as of 31 March 2024 as well as the income and expenditure of the Joint-Committee for the year that ended on that date. ⁠

It was stressed that the Statement was currently being reviewed by Audit Wales and the Ambition Board's external auditors. It was elaborated that the final accounts as well as the auditors' report would be submitted to the  ...  view the full minutes text for item 6.

Hedd Vaughan Jones (Head of Operations) to present the report.

To accept and approve the Annual Governance Statement.

The report was presented by the Head of Operations.

DECISION

To accept and approve the Annual Governance Statement.

REASONS FOR THE DECISION

The Accounting and Audit (Wales) Regulations (as amended) impose specific requirements on public bodies implementing partnership management through formal joint committees.

Regulation 5 requires the Joint Committee to review and approve annually a statement of internal control. The Annual Governance Statement had been prepared in compliance with this requirement. The document had been prepared to offer a framework to the Economic Ambition Board's operation.  ⁠ ⁠

DISCUSSION

The Report was submitted in its annual form confirming that small changes had been made this year in line with the comments and recommendations from the auditors.

It was made explained that the Report presented information on a number of issues to ensure that internal governance was robust and fit for purpose.

Stuart Whitfield (Digital Programme Manager) to present the report.

1.     That the Board approve the Business Justification Case for the LPWAN project and authorise the Portfolio Director, in consultation with the Chair, Vice-Chair, Section 151 Officer and the Monitoring Officer to procure and establish the required frameworks for the delivery of the project, subject to the Portfolio Management Office addressing the outstanding issues set out in section 7.1 of the report.

2.     That the Board note the process for accessing funding through the frameworks will involve the submission of a delivery plan for each local authority area and delegate authority to the Portfolio Director in consultation with the Lead Member for the Digital Programme and the Digital Programme Board to approve the delivery plans and delegate solely to the Portfolio Director the subsequent allocation of funding through the frameworks.

3.     That the Board note that the LPWAN Business Justification Case is a sub-set of the larger Connected Campus project from which funding will be allocated and agree to the principle that any underspend within the LPWAN project budget is ringfenced to the Connected Campus project in the first instance.

The report was presented by the Digital Programme Manager.

DECISION

1.      To approve a Business Justification Case for the LPWAN project and authorise the Portfolio Director, in consultation with the Chair, the Vice Chair, the Section 151 Officer and the Monitoring Officer, to procure and establish the required frameworks to carry out the project, subject to the Portfolio Management Office dealing with the ongoing issues as set out in Section 7.1 of the report.

2.      That the Board note the process for accessing funding through the frameworks will involve the submission of a delivery plan for each local authority area and delegate authority to the Portfolio Director in consultation with the Lead Member for the Digital Programme and the Digital Programme Board to approve the delivery plans and delegate solely to the Portfolio Director the subsequent allocation of funding through the frameworks.

3.      Noting that the LPWAN Business Justification Case is a sub-series of the larger Connected Campuses project from which the funding will be allocated and agrees to the principle that any underspend in the LPWAN project budget is earmarked to the Connected Campuses project in the first instance.

REASONS FOR THE DECISION

To seek the Board's approval of the Business Justification Case for the LPWAN Project.

As a project delivered by Ambition North Wales, approval was required by the Board to establish the frameworks that will deliver the project. Due to the nature and value of the project, in line with the Better Business Case guidance, a Business Justification Case is presented that requires only a single approval from the Board. ⁠

DISCUSSION

It was explained that the use of the Internet of Things (IoT) - a network of devices and sensors that can collect and share data with people or other devices, and operate in accordance with the information - had grown rapidly in use and diversity since 1999. It was confirmed that there were around 950 gateways to the Internet of Things over Britain. It was elaborated that these advances in high-quality data collection allow users to make informed decisions. Details were given that this was possible as users received detailed information about an asset at different scales, distances and frequencies, through a medium that disposes of the overall challenges of data collection. It was explained that a number of private Internet of Things Networks already exist in Britain such as smart meters and environmental monitoring systems. ⁠ ⁠ ⁠ ⁠

It was noted that the Internet of Things were used in Britain and globally to deliver economic benefits across the public and private sectors. It was confirmed that the aim of this project was to expand the use of the Internet of Things, which had wide applications in the region, using the public sector as an anchor user to support wider accessibility to the private sector. ⁠

It was reported that the LPWAN project had four main expenditure objectives, namely:

1.     Delivering affordable and easy-to-use, LPWAN connectivity to priority locations in the region's counties by 2027 (enabling efficiency across public services  ...  view the full minutes text for item 8.

The Chair shall propose that the press and public be excluded from the meeting during the discussions on the following items due to the likely disclosure of exempt information as defined in Paragraph 14 of Schedule 12A of the Local Government Act 1972 Information relating to the financial or business affairs of any particular person (including the authority holding that information).

There is an acknowledged public interest in openness in relation to the use of public resources and related financial issues. It is also acknowledged that there are occasions, in order to protect the financial and commercial interests that matters related to such information need to be discussed without being publicised. The reports deal specifically with financial and business matters and related discussions. Publication of such commercially sensitive information could adversely affect the interests of the bodies and the Councils and undermine the confidence of other Growth Deal participants in sharing sensitive information for consideration. This would be contrary to the wider public interest of securing the best overall outcome.

RESOLVED to exclude the press and public from the meeting during the discussion on the following items due to the likely disclosure of exempt information as defined in paragraph 14, Schedule 12A of the Local Government Act 1972 - information about the financial or business transactions of any specific person (including the authority that retains that information). ⁠

There was an acknowledged public interest in being open about the use of public resources and related financial issues. It is recognised, however, that there were occasions in order to protect public financial and commercial interests, where such information must be discussed without being publicised. The reports related specifically to financial and business matters and related discussions. Publication of such commercially sensitive information could adversely affect the interests of the bodies and the Councils and undermine the confidence of other Growth Deal participants in sharing sensitive information for consideration. This would be contrary to the wider public interest of securing the best overall outcome.  ⁠ 

1.     To approve the Outline Business Case for the Cydnerth project, subject to Menter Môn Morlais Cyf, addressing the matters noted in the report, as described in Section 7.1, and requesting a Full Business Case to be prepared for the Board’s consideration.

2.     To authorise the Portfolio Director, in consultation with the Host Authority's Section 151 Officer and the Monitoring Officer, to agree on draft terms in accordance with the Report as a basis for the final financial arrangements for the project, which will determine the funding to be agreed by the Board at the Full Business Case stage.

3.     To note that the proposed funding model for the project is 100% commercial loan, subject to confirmation of the subsidy control position on approval of the Full Business Case, and approves in principle that the interest from the loan once the cost of borrowing payments for the loan element have been paid, is allocated to a reserve to be used to fund the Portfolio Management Office in future years.

The report was presented by the Low Carbon Energy Programme Manager.

DECISION

1.     ⁠To approve the Outline Business Case for the Cydnerth project, subject to Menter Môn Morlais Cyf, addressing the matters noted in the report, as described in Section 7.1, and requesting a Full Business Case to be prepared for the Board's consideration.

2.     To authorise the Portfolio Director, in consultation with the Host Authority's Section 151 Officer and the Monitoring Officer, to agree on draft terms in accordance with the Report as a basis for the final financial arrangements for the project, which will determine the funding to be agreed by the Board at the Full Business Case stage.

3.     To note that the proposed funding model for the project is 100% commercial loan, subject to confirmation of the subsidy control position on approval of the Full Business Case and approves in principle that the interest from the loan once the cost of borrowing payments for the loan element have been paid, is allocated to a reserve to be used to fund the Portfolio Management Office in future years.

REASONS FOR THE DECISION

To seek the Board's approval of the Outline Business Case for the Cydnerth project.

DISCUSSION

The report was discussed.

1.     To approve the Business Justification Case for the Environmental Biotechnology Centre and to authorise the Portfolio Director, in consultation with the chair, the Section 151 Officer and the Monitoring Officer, to agree and enter into a funding agreement with Bangor University for the delivery of the project, subject to Bangor University addressing the outstanding issues noted in Section 7 of the Report and securing all necessary internal approvals for the project.

2.     To note that there will be two further procurement steps to deliver the project and to delegate to the Portfolio Director, in consultation with the Chair, Vice-chair, Section 151 Officer and the Monitoring Officer to approve procurement details and allocate prior to releasing funding for these steps.

The report was presented by the Growth Deal Programme Manager.

DECISION

1.     To approve the Business Justification Case for the Environmental Biotechnology Centre and to authorise the Portfolio Director, in consultation with the chair, the Section 151 Officer and the Monitoring Officer, to agree and enter into a funding agreement with Bangor University for the delivery of the project, subject to Bangor University addressing the outstanding issues noted in Section 7 of the Report and securing all necessary internal approvals for the project.

2.     To note that there will be two further procurement steps to deliver the project and to delegate to the Portfolio Director, in consultation with the Chair, Vice-chair, Section 151 Officer and the Monitoring Officer to approve procurement details and allocate prior to releasing funding for these steps.

REASONS FOR THE DECISION

To seek the Board's approval for Full Business Justification Case for Environmental Biotechnology Centre Project.

Bangor University has completed the procurement work for the project with a plan to buy equipment. The Business Justification Case will be submitted to the Board for a final Investment decision. Due to the nature and value of the project, in line with the Better Business Case guidance, a Business Justification Case is presented that requires only a single approval from the Board. ⁠ ⁠

DISCUSSION

The report was discussed.