Agenda item

10.1

The purpose of this report is to provide the context for a recommendation to be accountable body for a revenue grant offer from South Yorkshire Mayoral Combined Authority (SYMCA), of £2,856,916, as part of the City Region Sustainable Transport Settlement (CRSTS) Fund. The funding will be used to design and deliver the first gateway outputs (Strategic Outline Business Case (SOBC) and Outline Business Case (OBC)) including programme level costs and other complementary activities (such as data collection, communications, training and publicity) of the transport projects identified within the SYMCA CRSTS business case submission to the Department for Transport.

This report seeks the approval to be accountable body for the revenue funding from SYMCA only. All future capital expenditure will be subject to compliance with the Council’s budget processes, financial regulations and capital approval process, and the details, risks and financial implications will be included within the individual business cases for each project and submitted for authorisation via the capital approval process. Once the capital business unit has been approved, the revenue spend will be capitalised – thus enabling a proportion of this fund to be recycled to develop other transport schemes within the programme.

10.2

RESOLVED UNANIMOUSLY: That Finance Sub-Committee approves the Council as accountable body for the revenue grant offer from SYMCA of £2,856,916 as part of the CRSTS Fund.

10.3

Reasons for decisions

10.3.1

It is recommended that the Council agree to be accountable body for the revenue grant. This will enable the Council to benefit from £2.9m of revenue funding to undertake data collection, modelling, policy and strategic alignment, and development of optioneering recommendations to support the development of the projects within the CRSTS programme.

10.3.2

It will help protect the Council’s finances in the coming years, by providing revenue for staff costs, third party consultant support, and early specialist public participation resources.

10.3.3

Accepting the revenue grant and developing the project within CRSTS programme will ultimately unlock £137m of capital investment to deliver them.

10.4

Alternatives Considered and Rejected

10.4.1

Not accepting the revenue grant will significantly affect the viability of the projects within the CRSTS programme. They will either be delayed until an alternative funding source is found for their development or fail to come to fruition at all. Consequently, it will mean that the take-up of sustainable travel choices would be considerably slower than with the projects, it will also mean we are unable to provide safe and reliable sustainable routes for many residents travelling to employment and to local facilities.

10.4.2

This would result in a delay to the Transport Strategy outcomes, along with no contribution to the one-year plan.

10.4.3

The benefits that will result from the enhancement of sustainable travel provision, such as reduced car usage and increased economic activity, would not be felt under this alternative option, or would be felt some time in the future, and therefore their benefit would be significantly diminished. Similarly, not moving forward with the projects now would mean that the wider social and environmental benefits would not be realised.

10.1

The Head of Regeneration and Property Services presented a report informing members of a revenue grant offer from South Yorkshire Mayoral Combined Authority (SYMCA) of £2,856,916 as part of the City Region Sustainable Transport Settlement (CRSTS) Fund. The funding would be used to design and deliver the first gateway outputs (Strategic Outline Business Case (SOCB) and Outline Business Case (OBC)) including programme level costs and other complementary activities (such as data collection, communications, training and publicity) of the transport projects identified within the SYMCA CRSTS business case submission to the Department for Transport.

10.2

The report sought approval for SCC to be the accountable body for the revenue funding from SYMCA only. All future capital expenditure would be subject to compliance with the Council’s budget processes, financial regulations and capital approval process, and the details, risks and financial implications would be included within the individual business cases for each project and submitted for authorisation via the capital approval process. Once the capital business unit had been approved, the revenue spend would be capitalised – thus enabling a proportion of this fund to be recycled to develop other transport schemes within the programme.

10.3

RESOLVED UNANIMOUSLY: That Finance Sub-Committee approves the Council as accountable body for the revenue grant offer from SYMCA of £2,856,916 as part of the CRSTS Fund.

10.4

Reasons for decisions

10.4.1

It was recommended that the Council agree to be accountable body for the revenue grant. This would enable the Council to benefit from £2.9m of revenue funding to undertake data collection, modelling, policy and strategic alignment, and development of optioneering recommendations to support the development of the projects within the CRSTS programme.

10.4.2

It would help protect the Council’s finances in the coming years, by providing revenue for staff costs, third party consultant support, and early specialist public participation resources.

10.4.3

Accepting the revenue grant and developing the project within CRSTS programme would ultimately unlock £137m of capital investment to deliver them.

10.5

Alternatives Considered and Rejected

10.5.1

Not accepting the revenue grant would significantly affect the viability of the projects within the CRSTS programme. They would either be delayed until an alternative funding source is found for their development or fail to come to fruition at all. Consequently, it would mean that the take-up of sustainable travel choices would be considerably slower than with the projects, it would also mean that the Council was unable to provide safe and reliable sustainable routes for many residents travelling to employment and to local facilities.

10.5.2

This would result in a delay to the Transport Strategy outcomes, along with no contribution to the one-year plan.

10.5.3

The benefits that would result from the enhancement of sustainable travel provision, such as reduced car usage and increased economic activity, would not be felt under this alternative option, or would be felt some time in the future, and therefore their benefit would be significantly diminished. Similarly, not moving forward with the projects now would mean that the wider social and environmental benefits would not be realised.