PF 12-38 Partnership Fund Project Appraisal Form Please see project application for full details.

Project title: Coastal Link Bus Service Development (Quantock Motor Service) Brief project To support the transition of the area’s most popular bus service running between overview and from a fully funded to self financing operation and to further develop and enhance the product offer including new travel guide, and extended timetables and route. Summary of outputs  Provision of year round service  Provision of a Travel Guide  Development of through service. Total project value £240,00 Source(s) of match funding: Grant sought £30,000 Income generated through fares and advertising and firms Intervention rate 13% own funds.

Essential Criteria H / M / L Notes At least one of the two purposes to be met

NP purpose 1: To conserve and enhance M‐H Currently 96% of visitors access the National Park by the natural beauty, wildlife and cultural private car. Per passengers public transport use should reduce the negative impact of motor vehicles in the heritage area including noise and visual pollution, physical damage to verges and moorland areas through informal parking etc and carbon emissions.

NP purpose 2: To promote opportunities H The service will allow users to experience the National for the understanding and enjoyment of Park with an unrivalled view of its landscapes and accompanied by a new interpretive journey guide to the special qualities allow people to enjoy and understand the special qualities of the area.

Contribution to National Park Partnership M B2 – Promote and facilitate more sustainable modes of Plan priorities, Activities and Actions. travel to and from C1 – Maintain and where possible improve accessibility and sustainable modes of travel. Community involvement / support H There is widespread support for the service, as demonstrated when its future was first in doubt last year. Local pensioners will continue to benefit from reduced fares for local travel.

Desirable Criteria H / M / L Notes

Economic and community benefits H The route is one of the most popular public transport services in the area and also serves as an attraction and attractor in its own right featured heavily in guide books, tourism websites and in the press. The service provides a link for visitors and local residents between the two counties within the National Park and there is evidence that the route is used to transport people to employment opportunities within the area. Other funds sought / little access to other M The service has previously benefited from substantial funding public sector funding from the Transport Authority. Last year this was reduced by 50% with one additional funding coming from ENPA. At the moment there is no funding for the future operations of the service. This proposal seeks transitional support to develop the service as a year round self financing venture.

Benefits beyond the initial funding period H It is intended that after initial investment (at a much reduced rate compared to previous years) the service will be self financing and therefore economically sustainable into the long term.

Innovation or the use of best practice M The proposals are based on the experience of the operating running the route over recent years as well as adding in new innovations and ides to sustain the service.

Opportunities for others to learn from the M Passengers will learn more about the special qualities of project the area along the route travelled.

Sustainability evaluation H / M / L Notes

Environmental sustainability M‐H If the use of the service displaces private car journeys then a significant positive contribution will be made.

Social / community sustainability H Provision allows for access for all – including non car owners and supports access to services and employment‐ especially as a year round service.

Economic sustainability M‐H The service is part of the overall tourism offer of the area upon which the rural economy is based on and should become self financing in the long term.

Background information The 300 service has been dubbed the most scenic bus route in the country and carried almost 50,000 passengers in the summer of 2012. It is certainly the most iconic public transport option in the area and is used by many as much as an ‘experience’ as it is a means of travel. In this way it acts as something of a flagship for other routes in the area.

Until last year the route was operated with significant public subsidy which was reduced in 2012 and is currently unavailable for 2013. The operator is committed to the service, having previously invested in the operating vehicle, and recognising the value of the service to the local area – reinforced in the public campaign run last year in response to the potential withdrawal of the service). However as a commercial operation the operator can not sustain a service that can make a significant loss without funding.

The operator has considered a range of options and as outlined in the application is primarily looking at two main methods of sustaining a year round service 6‐7 days a week. Whilst the seasons or operating days could be reduced previous experience suggests this will have a disproportionate effect on the number of users as the service is less visible and flexible and consumer confidence falls.

Firstly the operator is proposing to operate a stretch of the journey as an enhanced route. This means that concessionary fares don’t have to be accepted. Arrangements will be made for local communities to still be able to use the service at below market rates, but those using it as a one off leisure experience will pay a reduced rate, but generating significantly more revenue for the operator than currently received via the concessionary fares refund (approx. £6 / return vs £1.60). In order to justify the route being operated as an enhanced service the operator will continue to use an open top vehicle and will also provide customers with an informative travel guide detailing what to do, what to see and information on the special qualities of the area the route passes through. Initial production costs will be met through any support provided by this grant, and once an established product has been produced it is hoped that advertisers can be attracted to support future editions.

Secondly the operator is looking to invest in a new vehicle and maintain a year round service with differing timetables in the low / mid and peak seasons of between 3‐4 return. To achieve this they will be investing in a new single decker bus with an open area which will be more resilient to changes in the weather, particularly outside of the peak summer season. In the peak season when the current vehicle is in use there is the potential to reinstate a through journey to using the new vehicle.

These two changes will make the service more viable as well as enhancing the opportunities and experiences for users and contributing further to the fulfilment of National Park purposes. However the weather plays a significant role in the success or otherwise of the service in any given year.

Given this funding is intended to sustain the service in the long term it is recommended that any offer granted provides the funding up front, to be held in a ring fenced fund, with a claw back mechanism put in place should the service not continue after 1 year (£20k returned), 2 years (£10k returned), or 3 years (£5k returned). This will provide the operator with security against losses whilst developing the service under a new business model and easing a bad season in the event of poor weather, whilst limiting the risk to public funds should the service not continue in the long term.

Recommendation APPROVE £30,000 (Up to 13% of total project value). Draft conditions  Confirm and evidence availability of match funding;  Service to run for at least 3 years – with £20k returned if stopped after 1 yr, £10k after 2 years and £5k after 3 years.  Liaise with ENPA over content of Journey guide;  Provide ENPA with data relating to annual passenger use;  Liaise with ENPA External Relations Manager regarding ALL press activity  Include ENPA Partnership Fund logo and “With support from the Exmoor National Park Partnership Fund” within project publicity.

NATIONAL PARK PARTNERSHIP FUND Office use only Large Grants Application Form PF 12-38 To be used by applicants seeking £20,000 or above

It is recommended that this form should only be completed on the advice of staff within Exmoor National Park Authority’s Sustainability and Economy team, following submission of an ‘Expression of Interest’. Please use the ‘Guidance Notes for applicants – completing and submitting a full application’ when completing this form. Should you require further advice please contact the Sustainable Economy Officer on 01398 322234.

A – PROJECT SUMMARY

Project title Exmoor Coastal Link Bus Service Development Brief project aim - To provide a bus link between Minehead, Porlock & Lynmouth following what do you hope Withdrawal of County Council support and for the benefit of local people your project will and visitors to Exmoor and to increase revenue over a two year period to achieve? provide a commercially viable service. Project location We estimate around 10,000 passengers per year Project duration From: May 2013 To: December 2013

B – YOUR DETAILS

B1 – Contact details Name of Applicant Stephen Morris Name of Quantock Motor Services Ltd Organisation Contact Address The Coal Yard, Broadgauge Business Park, , , , TA4 3BU Phone no. 01823 430202 / 07736 109513 Email [email protected] Website www.quantockmotorservices.co.uk

B2 - Type of Voluntary organisation or community group applicant (please Registered charity (Please provide charity no.) mark all boxes that Private company Yes apply) Public Sector Private individual Other (please specify below) B3 - Please briefly describe the aims To provide sustainable public transport on Exmoor and surrounding areas. of your organisation (N/A for individual applicants):

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C – PROJECT DETAILS

C1 - Please describe your project, why it is necessary and how you will achieve the aims & objectives. You should also detail how your project will meet the essential and desirable criteria of the fund as detailed in the guidance notes for applicants (section 2). You can attach further information such as plans or drawings to this form if needed. In most instances a project plan must also be submitted – please see the guidance notes for information. To avoid duplication feel free to cross refer to the project plan where appropriate. The Exmoor 300 service is one of the most iconic bus services in the region, if not the country, operating between Minehead and Lynmouth along the Exmoor coast. In the summer season it is operated by an open top bus offering panoramic views of the National Park.

This proposal seeks to develop an enhanced year round bus experience using open top and closed top buses, along with a journey guide for passengers and to transition the service from one fully reliant on public subsidy to a self financing service. A year round service is desirable as it not only offers a vital community link but a seasonal service leaves customers confused as to when the service is or is not running and they lose confidence in the operation.

The level of patronage is weather dependant. A sunny day can see 120 passengers journeys (high season) whereas a wet day can see numbers as low as 6.

This is to replace a service previously supported by . The support has dropped from £120,000 in 2009 to £80,000 in 2012 (with additional support from ENPA) and complete withdrawal of funding from 2013. In the same period customer numbers rose from 42,000 to 48,000 despite an awful summer weather wise.

It is proposed to offer 3 return journeys off peak and 4 journeys during July, August and September. It is intended to offer the service as an ‘enhanced journey’ with a visitor guide pointing out places of interest. “Enhanced journeys” mean that we are not obliged to accept concessionary bus passes for free travel but instead a 60% charge will be levied however, local over 60’s residents can purchase local resident tickets for £10.00 for 10 journeys. This would increase our revenue quite considerably. By not accepting concessionary fares the potential fare revenue will rise making the service more financially viable – at the moment we receive £1.60 per return concessionary passenger carried vs. £10 return fare for standard passengers.

It is our intention to introduce a new open top single deck vehicle to operate alongside the existing double decker service, with a view to extending some services from Lynmouth to Ilfracombe at a future date (peak season only) and to offer a more resilient service in the mid season allowing for more changeable weather conditions.

We seek funding to allow for future investment in the service over two years with a view to making the service self financing in the long term. Support is also sought to develop the journey guide of the National Park to be distributed to passengers. Once this product has been established and tested it is intended that advertising revenue can fund future editions.

C2 Please explain how your project will further one, or both, of the statutory National Park Purposes:  To conserve and enhance the natural beauty, wildlife and cultural heritage of the National Park  To promote opportunities for the understanding and enjoyment of the special qualities of the National Park by the public

To provide access to the Park without using cars thereby increasing opportunities for access for all, whilst minimising the impact of visitors to the National Park – particularly through a reduction in air, noise and visual pollution when private car journeys are replaced. The service also provides a community link and supports walkers.

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C3 - What are the specific outputs Sustained provision of a year round service with low / Mid / High season from your project timetables offering 3-4 journeys a day and to provide information about the and how will they National Park. be measured?

C4 – Do you have Yes – TV footage, videos, etc. All well known to yourselves and petitions. Last any evidence to year there was a successful campaign to save the service following a 1500 show a demand or person petition over the internet and local and national television and radio need for your coverage. project? Passenger numbers have grown over recent years and the service is highlighted in many publications and guidebooks and is featured as one of the South West’s Spectacular Journeys by the South West Tourism Alliance.

C5 – Please detail We would look to Exmoor National Park to provide expertise and local the role of any knowledge to enhance the quality and content of the publicity material and the partners in your visitor guide. project and how you will encourage Local businesses have shown strong support for the service. This will be enhanced through familiarisation trips and opportunities will be available in the community future for them to support the service through advertising in the journey guide. involvement.

C6 - What will We expect to reach fully commercial viability within two years through happen to your passenger number growth and removal of concessionary fares, although the project at the end of weather will continue to play a key role. the funding?

D – SUSTAINABILITY CHECKLIST For each strand of sustainability (environment, community and economy) please tick the areas that your project will contribute to and use the space below to detail how.

D2 - Environmental criteria Directly conserves and enhances Directly reduces air, land, water, noise Yes wildlife and biodiversity or light pollution Helps to safeguard protected species Uses traditional or local materials

Uses the hierarchy of reduce, reuse, Protects distinctive landscape features repair and recycle (including historic environment) Reduces carbon dioxide emissions Yes Contributes towards the efficient use / management of water resources Conserves and enhances natural Any other appropriate environmental carbon stores (e.g. woodland, soils, peat) sustainability factor (Specify below) Please explain how your project will fulfil the environmental criteria you have marked:

Emissions per passenger substantially lowered when public transport is used in favour of private motor vehicles. Provision of such a service also supports those wishing to partake in linear and long distant walking routes such as the Coleridge Way and South West Coast Path.

Visual, noise and air pollution will be reduced using 1 bus over several private cars.

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D3 - Social / community criteria Promotes cultural heritage Encourages healthy lifestyles Yes Yes

Improves the well being of local Works in partnership with community communities Yes based groups Encourages visitors to make Offers new opportunities to learn sustainable (low impact) choices Yes about Exmoor Yes during their stay Promotes equality of opportunity, Offers new opportunities for voluntary encouraging access to the widest Yes participation possible audience. Encourages the use of public Any other appropriate social / transport, cycling, riding, and walking Yes community sustainability factor (Specify below) Please explain how your project will fulfil the social / community criteria you have marked:

Provide transport links between communities and to provide visitors by bus with a visitor guide. It will also provide job opportunities on the moor and encourage more people to explore the area and learn about it.

D4 - Economic criteria Provides training opportunities Uses, or encourages the use of, sustainable transport Yes Generates or safeguards employment Adds value to local sustainable Yes resources Generates own income to support the Supports rural diversification project Yes Yes Uses, and encourages use of, local Promotes green business practice as goods and services, keeping money Yes a way of adding value within the local area Supports and builds a low carbon Any other appropriate economic economy Yes sustainability factor (Specify below) Yes Please explain how your project will fulfil the economic criteria you have marked:

Allows local people to travel to work within the area and to provide transport within and to the Park. With initial financial support the service aims to become self sustaining and we have looked at different ways to operate in order to maximise fare income and reduce costs.

The service also benefits local businesses and the economy by encouraging people to visit the area and to spend longer exploring local towns and villages along the route.

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E – PROJECT COSTS & FUNDING

Please refer to the guidance notes for a detailed explanation of the information required under the different headings.

E1 – Are you VAT If you are VAT registered we will pay any claim net VAT and your Yes X No costs below should not include VAT. If you are not VAT registered and registered? unable to claim VAT back please include VAT in the costs below.

E1 – Project Costs Please provide costs for all elements of the project. Breakdown of costs Total Value Value of in-kind Balance List project elements here (cost) £’s support / time required £’s What is the total market £’s (do not include cash Having taken off any in- value of this element? kind support from the total contributions here) value what actual funding List here the value of any is still required? (A-B=C) services provided free of charge, discounts received or volunteer/ staff time given freely that contribute to the total value. Fuel for Bus 30,800 Driver Wages 30,000 Insurance & Road Fund Licence 2,550 Vehicle Maintenance Contract 6,100 Tyres & Consumables 2,500 Interest 8,000 Depreciation 15,000 Contribution to Overheads 20,000 Route Guide Costs 5,050

TOTALS (A) £120,000 x2 (B) £ (C) £240,000 yrs

E2 – Project Income Please detail here actual financial contributions from your own reserves, other funders or estimated project income that will help meet the balance of funding required (C). Do not include in-kind contributions included above. Match Funding Source Amount Status (name of provider / grant fund) (£) (e.g. secured, awaiting decision, to be applied for etc) Fares Revenue 2013 85,000 Annual projection Concessionary Fare Reimbursement 2013 14,000 Annual projection Fares Revenue 2014 92,500 Concessionary Fare Reimbursement 2014 16,000 Advertising revenue 2014 2500 (Subject to weather) Own funds will provide any shortfall TOTAL OTHER FUNDING SOUGHT (D) £210,000

E3 – What level of funding are you seeking from the National Park Partnership Fund? Total value of contribution sought from the (E) £ 30,000 (£20,000 year 1 & £10,000 National Park Partnership Fund (C – D) year 2) Percentage contribution requested against total 12.5 % project costs (E ÷ A x 100)

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E4 – Is there currently a shortfall in the level of funding secured? If so how will this be met? Can you scale the project down if you don’t secure all funding sought?

Income is projected and weather will play a significant factor. In the short term any shortfall will be met by own funds. However if the service doesn’t break even it is not sustainable for us to continue operating in the long term, hence the proposals within this application to develop the service.

E5 - What will happen to your project if funding from the Partnership Fund is not available?

The service will be curtailed or reduced.

DECLARATION

I confirm that, to the best of my knowledge, the information provided within this application form is true and correct and I am authorised to submit it for consideration for grant funding. I understand this form will be placed in the public domain as part of a transparent decision making process.

Signed Steve Morris Date 1st Feb 2013

CHECKLIST

This form is now complete – please use the following checklist to ensure all supporting information is required. Ensure all applicable questions have been answered Enclosed a project management plan, unless otherwise advised by ENPA Officers Enclosed a copy of your organisations annual report / accounts and constitution (N/A for individuals) Copies of relevant letters of support Copies of relevant necessary permissions

Once completed please send this form and necessary supporting documentation to:

Sustainable Economy Officer Exmoor National Park Authority Exmoor House Dulverton Somerset TA22 9HL Or email to [email protected]

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