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Agenda Item 8 Northern Lincs Broadband Project

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Agenda Item 8 Northern Lincs Broadband Project Report of the Director of Places Agenda Item No: 8 Meeting: 29 September 2015 NORTH LINCOLNSHIRE COUNCIL CABINET NORTHERN LINCS BROADBAND PROJECT 1. OBJECT AND KEY POINTS IN THIS REPORT 1.1 To update the Cabinet on the successful completion of the Northern Lincs Broadband Project. 2. BACKGROUND INFORMATION 2.1 The Northern Lincs Broadband project began in 2012. The aim was to deliver the Government’s National Broadband Strategy. This was set out in a document published in December 2010 under the title ‘Britain’s Superfast Broadband Future’. The one primary objective of the strategy was that by 2015, 90% of each local authority area could access superfast broadband. 2.2 The council established a project team to deliver this national initiative. The project team comprised of a Project Director, Project Manager, Project Officer and Project Support Officer. 2.3 The council submitted a bid for project funding to the Department for Communities and Local Government (DCLG) in mid 2012. This application for £1,557,000 (subsequently increased to £2,119,000) to the European Regional Development Fund (ERDF) proved successful. However, it depended on the project also delivering a programme of business support. The aim was to assist local eligible Small and Medium Enterprises (SMEs) to maximise the benefits of operating online. The council decided to deliver this support internally. 2.4 Business support has so far achieved the following outcomes: • 164 businesses completing at least 12 hours of support against a contractual target of 160 businesses assists. • 2,974 hours of support provided. • 475 businesses engaging in and participating in the programme in some way. 2.5 The project has exceeded its targets for delivery of Superfast broadband infrastructure. By January 2015, over 90% of properties (including business premises) in Northern Lincolnshire could access superfast broadband. 2.6 The council signed a contract for improved broadband infrastructure with BT Group in June 2013. This followed a procurement process using the BDUK national framework. This had set a target of 92.5% of premises having access to superfast broadband by June 2015. This target was achieved ahead of schedule in May 2015. 2.7 By May 2015, 31,500 premises were upgraded and 154 broadband cabinets enabled for fibre broadband. This fully met the project’s contractual target. The target set by DCLG in their contract with the council for 3,130 SMEs to have access to superfast broadband was also met by May 2015. 2.8 Other achievements of note include: 2.8.1 The Northern Lincs Broadband deployment was one of the few projects achieved without using external consultants. Most projects retained the services of external advisers for procurement, technical and financial support. 2.8.2 The Northern Lincs project has progressed since April 2014 without a full time project manager and since August 2014 without a full time project officer. 2.8.3 Savings of £2m were achieved on the current contract through effective contract management. These savings will be utilised to invest in further superfast broadband infrastructure between 2015 and 2017. A further £1.1m was secured from take up on the first deployment through ‘gain share’. In total, an additional £3.1m of benefit was secured through savings and generated capital from the first contract. 2.8.4 The first contract underwent several assurances and audit reviews by government via BDUK, an internal agency of the Department for Culture, Media and Sport (DCMS). All of these assurances were passed. The project was cited as best practice for contract management and deployment, including its handling and management of the payments and assurance process with BT Group. 2.8.5 The BDUK contract has undergone two major audits by the government’s Cross Departmental Independent Audit Service (XDIAS). These two external audits, an Article 13 Progress and Verification Visit, and an Article 16 audit, are conducted on behalf of the Managing Authority (DCLG). These two audits in 2014 and 2015 found no major issues of risk and found no project procurement or expenditure risks. 2.8.6 In addition to the delivery of the broadband infrastructure rollout and business support programme, the project also managed the procurement for a further infrastructure rollout between 2015 and 2017. This was achieved with a contract signed for £1.99m of investment on 30 March 2015. This was 3 months ahead of the government deadline for completing signature of Superfast Extension Programme contracts. Combined with the £3.1m secured in savings/return on the first contract, this brings the total investment pot to £5.09m. The areas in North Lincolnshire that will benefit from the contract in question are listed in Appendix A, along with the list of areas requested to be included following consultation. 3. OPTIONS FOR CONSIDERATION 3.1 That the Cabinet notes the successful completion of the Northern Lincs Broadband Project. 4. ANALYSIS OF OPTIONS 4.1 The project was completed within budget, ahead of schedule and has met the outputs it was contracted to deliver. The council’s internal audit team will undertake an ‘End of Project Review’ as soon as the final financial claims complete. 5. RESOURCE IMPLICATIONS (FINANCIAL, STAFFING, PROPERTY, IT) 5.1 Project staff assigned to the project will revert to substantive positions upon completion of their contracts. One member of staff was redeployed elsewhere within the local authority. 6. OUTCOMES OF INTEGRATED IMPACT ASSESSMENT (IF APPLICABLE) 6.1 Not applicable. 7. OUTCOMES OF CONSULTATION AND CONFLICTS OF INTERESTS DECLARED 7.1 An event to promote the project was held on 11 September 2015. Extremely positive feedback was received on the roll-out of ‘Superfast Broadband’ and the programme of Business Support provided by the council from the various representatives of local businesses who attended. 8. RECOMMENDATIONS 8.1 That the Cabinet notes the successful completion of the Northern Lincs Broadband Project. DIRECTOR OF PLACES Civic Centre Ashby Road SCUNTHORPE North Lincolnshire DN16 1AB Author: Sean Brennan/Lesley Potts Date: 17 September 2015 Background Papers used in the preparation of this report: • Northern Lincs Broadband – End Project Report Appendix A – Areas to be upgraded by March 2017 Please note some of the areas below are already partially upgraded. Where this is the case, the remaining cabinets and/or exchange only lines/long lines will be upgraded. North East Lincolnshire areas are also being upgraded but have not been included below. Amcotts Belton East Butterwick Elsham Industrial Estate Flixborough Industrial Estate Greetwell Holme Kelfield Sandtoft Santon Ashby Appleby Barton Barrow Bonby Cadney Crowle Eastoft Epworth Gainsthorpe Manton Cleatham Garthorpe and Fockerby Graizelound Haxey Scunthorpe Keadby Kirton North Killingholme Roxby Westwoodside Whitton Winterton .
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