Agenda item

8.1

To review the progress of plans for the “Sheffield Bus Agreement” – a Voluntary Partnership approach to improving the bus offer in Sheffield, principally through network design changes, new ticketing products and by reducing the price of the more expensive fares and to seek authority for the City Council to enter into the Partnership, and to endorse specific further work.

8.2

RESOLVED: That Cabinet:-

(a)

notes the results of the public consultation and work to date on the options for delivering a new Bus Agreement for Sheffield;

(b)

endorses the Voluntary Partnership Agreement option as the preferred delivery vehicle at the present time, noting that South Yorkshire Passenger Transport Executive (SYPTE) work on the Quality Contract option is to be suspended to allow the Partnership Agreement to progress; and

(c)

agrees to the principle of the Council being a co-signatory to the Sheffield Bus Agreement and endorses further work to facilitate a City-wide launch in October 2012. 

8.3

Reasons for Decision

8.3.1

Improved Public Transport will contribute to the objectives of ‘Standing Up for Sheffield’ and the Sheffield City Region Transport Strategy.

8.3.2

Under Statutory Quality Partnership Schemes (SQPS), the Council/SYPTE improve the physical facilities on, or along, the line of a bus route(s) and in turn for using these facilities bus operators must meet certain physical attributes in their services. Under these schemes, 35% of passengers benefit from reduced fares, whilst under Quality Contracts,      over half of passengers could pay more. A Voluntary Partnership Agreement (VPA) can be planned for 28 October 2012, but a Quality Contract still needs a statutory process lasting up to 3 years.

8.3.3

The completion of a VPA, will mean that financial and reputational risks lie mostly with operators whereas, under Quality Contracts, the main financial risks would be with the South Yorkshire Integrated Transport Authority, SYPTE and the City Council.

8.3.4

The VPA is currently planned as a 5 year Agreement. However, Quality Contract type franchises (e.g. rail) typically last 10 years. The world has changed considerably since last consultation on “Bus Vision” and it is  very difficult currently for anyone to commit to a 10 year contract.

8.4

Alternatives Considered and Rejected

8.4.1

Quality Contracts (QC) - this option replaces the existing on-street competition with a franchised network option which is put in place, following a tender process.  SYPTE specify the franchise but the associated risk sits within the public sector.

8.4.2

Do Nothing – This option is not considered in this report but in view of the falling bus patronage across many parts of the County is not considered an option.