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A G E N D a Growth, Enterprise & Environment Scrutiny & Improvement Committee

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GROWTH, ENTERPRISE & ENVIRONMENT SCRUTINY & IMPROVEMENT COMMITTEE THURSDAY 10 DECEMBER 2020 AT 10:00AM Please note this is a virtual meeting and will be live-streamed CONTACT here Mr David Boville (01642) 444617 1 December 2020 CIRCULATION Councillors Foggo (Chair), Rider (Vice Chair), Ayre, Baldwin, Berry, R Clark, Foley- McCormack, S Jeffrey, Jones, Lax-Keeler, Moody, and V Smith. Councillors Davies, Kay, Hunt, Lanigan and Westbury (Cabinet Members - For Information) All Members of the Council (For Information) Corporate Director for Growth, Enterprise and Environment The Press [except for Confidential item(s)] A G E N D A 1. Apologies for Absence. Pages 2. To confirm the Minutes of the meeting held on 29 October 2020. 2-4 3. Declarations of Interest. 4. Relevant Cabinet Reports. Would Members please refer to their copy of the Cabinet Workbook for the meeting (these papers will follow) 5. Tees Valley Energy Recovery Facility Project Update. 5-7 6. Place Investment Team Progress Update. 8-20 7. Any items the Chair certifies as urgent. 1 of 20 AGENDA ITEM 2 GROWTH, ENTERPRISE & ENVIRONMENT SCRUTINY AND IMPROVEMENT COMMITTEE 29 October 2020 GROWTH, ENTERPRISE & ENVIRONMENT SCRUTINY AND IMPROVEMENT COMMITTEE A virtual meeting of the Growth, Enterprise & Environment Scrutiny and Improvement Committee was held on 29 October 2020 via Microsoft Teams. PRESENT Councillor Foggo (Chair), Councillors Ayre, Baldwin, Berry, R Clark, Foley- McCormack, S Jeffrey, Jones, Lax-Keeler, Rider and V Smith. OFFICIALS D Boville, A Brockbank, A Carter, S Fenwick, R Hoof, J Hosie, A Miller, I Nicholls, A Pearson and C Stannard. IN ATTENDANCE Councillors Davies, Hunt and Kay. APOLOGIES FOR ABSENCE Apologies for absence were submitted on behalf of Councillor Moody. 10. MINUTES RESOLVED that the Minutes of the Economic Growth Scrutiny and Improvement Committee held on 17 September 2020 be confirmed and signed by the Chair as a correct record. 11. DECLARATIONS OF INTEREST Councillor Jones declared a non-pecuniary interest in the Enforcement Update as an employee of Beyond Housing. 12. ENFORCEMENT UPDATE The Assistant Director for Environment, in conjunction with the Service Lead for Safer Communities & Compliance and the Principal Legal Officer gave a presentation on the current work of the enforcement team and the challenges being faced. As part of the ensuing discussion, the following points were made: • The Council should consider pursuing prosecutions as opposed to fixed penalty notices, securing a large prosecution may act as an effective deterrent to potential offenders. • Cooperation with landowners, and encouraging them to take 2 of 20 GROWTH, ENTERPRISE & ENVIRONMENT SCRUTINY AND IMPROVEMENT COMMITTEE 29 October 2020 responsibility was key. • There was strict legislation regarding the placement and use of CCTV and body-worn cameras. • Work was ongoing to improve communication between the waste and enforcement teams. • Enforcement action was designed to change behaviour, not to generate income. • Lots of work had been undertaken to engage with PD Ports regarding issues at the South Gare. • The Council did not have enough resources to cover the whole borough and therefore a targeted approach was being used. • The enforcement and waste teams should be thanked for their hard work and dedication, along with the volunteer groups working across the Borough to keep it clean and tidy. • More resources needed to be allocated to educating and engaging with residents:-NOTED 13. SKELTON HIGH STREET CAR PARK REDEVELOPMENT The Managing Director presented a report seeking to commit £300,000 of TVCA funding to support the delivery of a new car park on Skelton High Street, which was due to be considered by Cabinet on 3 November 2020. As part of the ensuing discussion, the following points were made: • £300,000 for a 30-space car park appeared to be a lot of money. An industry standard method for calculating the costs had been used and this may be revised as the project developed. The costs included the now mandatory inclusion of electric vehicle charging points as well as the demolition of a building currently on the site and the construction of a replacement building elsewhere. Detailed financial information could be provided if required. • This scheme would not just provide additional car parking but improve the High Street as a whole:-NOTED 14. COATHAM DEVELOPMENT PHASE 1 The Managing Director presented a report seeking to finance phase 1 of the Coatham development, which was due to be considered by Cabinet on 3 November 2020. As part of the ensuing discussion, the following points were made: • Accelerated Government funding was being used to clear the site, over and above the Town Deal funding. Should a hotel developer pull out, the Council would be in a stronger position to go back out 3 of 20 GROWTH, ENTERPRISE & ENVIRONMENT SCRUTINY AND IMPROVEMENT COMMITTEE 29 October 2020 to market to secure new investment. • The Council was very close to finalising terms with a hotel developer. • The hotel was a key element of the plans and it was hoped that it would attract further investment into the area. • If the plans go ahead, a new building for the sea cadets will need to be secured. • Plans were being considered that could see TunedIn! Become a multi-use facility. • Use of local labour would form a part of any legal agreements relating to planning permission for the site. • The Council was extremely limited as to what work could be undertaken on Coatham Green:-NOTED 15. PLACE INVESTMENT TEAM PROGRESS UPDATE The Assistant Director for Growth & Enterprise presented an update on current place investment projects. As part of the ensuing discussion, the following points were made: • This was a new standing item on the agenda. • This update would be in addition to the regular Area Growth Plans presentations. • Members should email any questions to the Chair prior to the committee meeting for responses to be provided at the Committee:-NOTED 16. ANY OTHER BUSINESS The Committee agreed to consult with the Cabinet Member for Economic Development to discuss the most appropriate way for the Council to submit evidence to the UK2070 Teesside Taskforce:-NOTED 4 of 20 GOVERNMENT PROTECTIVE MARKING SCHEME Briefing Note Tees Valley Energy Recovery Facility Project To: Scrutiny Committee Date: 30.11.20 From: Will Gander Ref: 1.0 Purpose The purpose of the report is to provide the Scrutiny Committee for Growth, Enterprise and Environment with an update on progress made regarding the Tees Valley Energy Recovery Facility (TV ERF) project. 2.0 Summary 2.1 Background 2.11 The five Tees Valley Authorities, Durham County Council and Newcastle City Council have joined together to create an opportunity for a contractor to design, build, operate and finance a new Energy Recovery Facility (“ERF”) to be located in the Tees Valley. 2.12 Supported by Business Cases, the requirement is for a 450,000 tonne per annum Energy Recovery Facility (ERF) with Combined Heat and Power (CHP) capability to treat the Councils’ municipal solid waste (“MSW”), this being the residual waste that has not been (or cannot be) recycled. 2.13 The entity appointed following the conclusion of the procurement process (“Contractor”) will have a minimum 29 year contract to build and operate the ERF, with the potential of a further 11 year extension. The facility will revert to ownership by the Councils at the expiry of the Contract. 2.14 The TV ERF will represent a very significant upfront capital investment on a contract which will have a total value of up to £2.1 billion over 40 years. It will be a source of renewable electricity (up to 49.9MWh) and heat. The development will create over 300 jobs during the construction phase and approximately 40 permanent positions and will contribute to the local circular economy. 2.15 On the 16th June 2020, Cabinet approval was given to: 2.151 Enter into an Inter-Authority Agreement (IAA) with Middlesbrough Council, Stockton Borough Council, Hartlepool Borough Council, Darlington Borough Council, Durham County Council and Newcastle City Council in respect of the Tees Valley Energy Recovery Facility (ERF) Project. 2.152 Issue the OJEU Notice and commence the formal procurement for the Project. 1 5 of 20 GOVERNMENT PROTECTIVE MARKING SCHEME 2.153 Delegate authority to the Managing Director and Leadership of the Council to finalise, conclude and agree the above matters, including minor changes to the agreement(s). 2.2 Update 2.21 The First Inter-Authority Agreement was signed by all seven Councils involved with the TV ERF Project on the 24th July 2020. This was an important milestone for the project as it is a legally binding Agreement which provides certainty to the bidders on which Councils are involved with the project. 2.22 The decision to grant Outline Planning Permission for the ‘Construction of an Energy Recovery Facility and Associated Development’ was granted on the 24th July 2020. This means that the principle of development for the site has been established which is important because having mandated the ‘Reference Site’ for the development of the TV ERF, this has contributed to re-risking the project overall. 2.23 The formal procurement process for the TV ERF Project commenced on the 24th July 2020 with the issue of the OJEU (Official Journal of the European Union) Notice. [Publishing an OJEU notice is compulsory for procurements regulated by the Public Sector Procurement Directive]. 2.24 There are a number of different steps that will take place as part of the procurement process: 2.25 Selection Questionnaire (SQ) - All companies that were interested in the procurement had to complete the SQ. A total of nine responses were received. The SQ evaluation process was completed on the 16th October 2020 and all bidders were informed of the results on the 19th October 2020.
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