Agenda item

To provide the Joint Committee with an update on the next steps with regard to securing European Social Investment Fund funding.

The Joint Committee discussed the arrangements for pursuing the original commitment to seek additional monies via the European Social Investment fund (EUSIF). The Joint Committee was advised that the partners could now proceed to a formal bid for funding.  The report asked the six Berkshire authorities to note and formally endorse the content of the Thames Valley Berkshire City Deal (known as Elevate) European Social Investment Fund Programme – and operational delivery structure.

Some frustration was expressed about the seemingly endless delays in gaining access to the EUSIF monies which even now were not guaranteed as they were subject to a bidding process.  It was stressed that there were always risks associated with bidding for EU funding both before and after a successful bid as the auditing of claims was stringent, requiring detailed record keeping to evidence how the funding had been spent and matched.  Tim Smith reminded the Joint Committee that a further bid for £8.1m to support the science park had also been made.  Whilst the delays which had effectively put the project back by 18 months were unfortunate, he believed there was nothing more anyone could have done.

Since the original decision to bid for the funding, Slough Borough Council had indicated that it was no longer able to identify the level of match funding required, particularly with uncertainty about budgets next year and beyond.   In the circumstances, it had not based its project around receiving the EUSIF money, but instead had developed a sustainable offer using only the Cabinet Office funding with the aim that its activities would be mainstreamed by partners when this funding ended.  It would not be creating a physical hub with the costs that implied.  As it was not reliant on the EU money, and could not identify the match funding, it believed the inherent risks around any EU funding including audit and claw back were too high and had reluctantly come to the conclusion that it could not accept that risk.  Therefore, to enable the bid to go ahead and so benefit all while protecting their own position, Slough would remain a partner to the bid to securing the funding but their allocation, £378k, would go into a central pot to be used for pan-Berkshire commissioned services. 

In response to a question, the Joint Committee was advised that Slough’s share of the match-funding liability would be met centrally.  All authorities accepted this as the basis for agreeing to proceed as they indicated that they could not accept any increase in their original match-funding liability.

RESOLVED that as part of the implementation of the governance arrangements in the City deal agreement, the Joint Committee on behalf of the six Berkshire Unitary Authorities under Section 101(5) and 102(1) (b) of the Local Government Act 1972 take decisions on behalf of the six Berkshire Unitary Authorities in respect of managing and delivering the outcomes of the City Deal EUSIF programme as agreed through the LEP Forum, and in this regard:

i)          Reading Borough Council be recognised as the Accountable Body for the purposes of the City Deal EUSIF initiative, and will provide financial and legal advice to both the LEP Executive Board and the Joint Committee in relation to the City Deal EUSIF programme;

ii)         Bracknell Forest Borough Council be appointed to the role of Secretariat to the Joint Committee on behalf of the six unitary authorities;

iii)         The Joint Committee endorse and formally accept the Elevate Berkshire EUSIF programme (appendix1 of the report) and by committing to the proposal also commits to all aspects of the EUSIF process, including compliance and risk around claw back of funding

iv)        The Joint Committee formally accept the agreed EUSIF programme delivery structure and agreed match for their respective authorities (appendix2 of the report) and by committing to the structure, also commit to have shared responsibility for the EUSIF programme

v)         The Joint Committee formally acknowledge the EUSIF briefing document and next steps and commitments needed from each authority around accepting shared responsibility for the EUSIF Programme; as well as ‘notionally’ agreed amounts to be received, based on successful retrospective claims, per Authority (appendix 3 of the report); these notional amounts to be agreed via the City Deal Steering Group for final submission of the bid including amounts to be held centrally for commissioning pan-Berkshire services.

vi)        All of Slough Borough Council’s allocation be held centrally for commissioning pan-Berkshire services.

vii)       The Joint Committee note the current Risk Assessment (appendix 4 of the report)

viii)       Reading Borough Council be the accountable body, to be delegated authority to implement any transfer of funds to the local authorities and the Local Enterprise Partnership for the EUSIF programme subject to the Council being satisfied that the projects concerned are fully developed and ready to be implemented as part of the collective EUSIF bid