Agenda item

To receive a report by the Corporate Director: Economic, Community and Ambition (copy attached) to consider and offer observations on the outline business case for the creation of a regional passenger transport team.

                                                                                                          11.55 a.m.

A confidential report by the Corporate Director: Economic and Community Ambition (CD:ECA) which summarised the work undertaken to date with respect to creating a single integrated unit for the delivery of passenger transport services in North Wales and which presented the outline business case for its creation, had been circulated with the papers for the meeting.

The Chair welcomed Mr Iwan Prys Jones, Regional Transport Group Representative (TAITH) to the meeting.

The CD:ECA explained that the Regional Passenger Transport Project had now reached Outline Business Case stage and Cabinet would consider whether or not to approve moving ahead with the development of a Full Business Case for the Preferred Option.  A Working Group of transport managers from all North Wales Authorities supported by TAITH, and externally facilitated, had developed an Outline Business Case which had produced a Preferred Option for further consideration, and approval was being sought to develop the Preferred Option into a Full Business Case for implementation if the case was proven and approved by the constituent Authorities.  A review of the future delivery of bus subsidies across Wales by Welsh Government (WG) had produced a number of recommendations, the key one being that a new bus funding grant “Regional Transport Services Grant” would be in place from the 1^st April, 2013, delivered through the Regional Transport Consortia.

The scope of the project which comprised public, education and social services transport had been identified at an early stage.  The report detailed the areas excluded from the scope of the project, key facts relevant to the delivery of the current service by the six Local Authorities and the basis of the case for change.  The four main Options considered during the development of the Outline Business Case had been summarised and a copy of the Outline Business Case had been included as Appendix 1, together with, details of the criteria against which the Options had been assessed.

The Outline Business Case assessment had identified two options as the best when assessed against the identified criteria, but given the recent proposed changes to the bus funding system only one of these options now merited further development into a Full Business Case for further consideration.  This option was outlined in the report.  It was recognised that this option would be the most radical and complex of those which had been considered, however it also offered the most potential for improved outcomes and savings in the longer term.

The potential for savings and efficiency would be evaluated against the complexity and potential up-front costs as the Full Business Case was developed.  The option could be developed incrementally, with a first phase considering integration of the passenger transport services, followed at a later date by education transport and social services transport.  This approach would combine with the changes necessary to manage the implementation of the new bus funding approach, beyond the transitional phase.

The timescales considered achievable for the project, subject to approval, had been outlined in the report.  Confirmation was provided that the full financial implications for all Councils would be explored in the next stage of work and would be identified to allow decisions on whether or not to implement changes to be made once the Full Business Case had been completed and considered.

In response to concerns expressed by Members TAITH’s Chief Executive explained that the single integrated regional model would ensure that each individual Authority would retain a certain level of accountability in delivery of their respective services, while working within an overall framework across North Wales.  He explained that the Welsh Government Minister for Local Government and Communities had provided each region with the opportunity to submit proposed arrangements for their respective areas.

A number of Members referred to the high standards set and the good work undertaken by the Section Manager: Passenger Transport and his team with regard to the provision and management of school transport within Denbighshire.  TAITH’s Chief Executive confirmed that certain aspects relating to school and social services transport provision would remain within local authority control.  However, support could be offered and provided if there was a lack of capacity or expertise within a specific area. 

In reply to a question from Councillor E.A. Jones, the CD:ECA explained that the importance of addressing issues pertaining to the Welsh Language and culture had been incorporated into the Business Case.  TAITH’s Chief Executive responded to concerns raised by Councillor M. McCarroll and confirmed that there was scope for efficiency improvements in respect of cross border passenger transport, particular reference being made to school transport provision, and this issue could be examined within the remit of the project.  However, decision pertaining to the school transport eligibility criteria would remain within the control of the local education authority.

TAITH’s Chief Executive responded to concerns expressed by Councillor J. Butterfield regarding the magnitude of the project.  He confirmed that regular progress reports could be presented to the Partnerships Scrutiny Committee at each of the development stages.  The CD:ECA confirmed that she would liaise with the Scrutiny Coordinator when details of the timescales were available.  It was:

RESOLVED – that the Committee:-

(a)subject to the above observations, recommend to Cabinet that the Outline Business Case and preferred option are accepted and that the project now moves to develop a Full Business Case for the implementation of a single integrated unit for the delivery of passenger transport services in North Wales.

(b)notes that any decision to implement an integrated unit would only be taken after Councils had considered and approved the Full Business Case, and that future governance arrangements would be addressed during development of the Full Business Case, and

(c)    receives regular progress reports for scrutiny at each of the development stages of the project.

PART I