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Executive Response to the Economy and Culture Scrutiny Committee Report Into the Future of Cardiff Harbour Authority

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Executive Response to the Economy and Culture Scrutiny Committee Report Into the Future of Cardiff Harbour Authority CARDIFF COUNCIL CYNGOR CAERDYDD EXECUTIVE BUSINESS MEETING: 13 JANUARY 2010 EXECUTIVE RESPONSE TO THE ECONOMY AND CULTURE SCRUTINY COMMITTEE REPORT INTO THE FUTURE OF CARDIFF HARBOUR AUTHORITY REPORT OF CORPORATE DIRECTOR (BUILT ENVIRONMENT) AGENDA ITEM: 13 PORTFOLIO : SPORT, LEISURE AND CULTURE Reason for this Report 1. To provide the Executive with a response to the Economy and Culture Scrutiny Committee report into the future of Cardiff Harbour Authority Background 2. The Economy and Culture Scrutiny Committee report into the future of Cardiff Harbour Authority was submitted to the Executive on 4 November 2010. The Welsh Assembly Government (WAG) had confirmed its intention to review all areas of spend given the current public sector funding position and this included Cardiff Harbour Authority (CHA). 3. The WAG review was concentrating on whether the services CHA provides are being delivered in a way consistent with minimising costs and providing value for money whilst meeting its obligations under the Cardiff Bay Barrage Act 1993. 4. The terms of reference for the Economy and Culture Scrutiny Task & Finish group were :- To investigate the impact of the wide range of functions provided by the Harbour Authority by examining: a) Its statutory functions b) Its non statutory functions c) Gaining stake holder perceptions of effectiveness d) Examining the key risks associated with the financial pressures 5. The Committee’s report identified 13 key findings and made 12 recommendations. Issues 6. The Executive’s proposed response to the 12 recommendations is detailed in Appendix 1. 10 recommendations are accepted and 2 are partially accepted. Reasons for Recommendations 7. To enable the Executive to respond to the report of the Economy and Culture Scrutiny Committee on the future of Cardiff Harbour Authority. Legal Implications 8. The Scrutiny Committees are empowered to enquire, consider, review and recommend but not to make executive decisions. As the recommendation in this report is an executive response there are no direct legal implications. However legal advice will be required in regard to the pending review of the relationship between Cardiff Harbour Authority and Welsh Assembly Government. Financial Implications 9. There are no direct financial implications arising from this report, however where applicable, the accepted recommendations made by the Economy and Culture Scrutiny Committee will be taken into consideration in negotiations with the Welsh Assembly Government over future funding levels for the Cardiff Harbour Authority. RECOMMENDATIONS The Executive is recommended to approve the response to the Economy and Culture Scrutiny Committee report attached as Appendix 1 to this report. PAUL ORDERS Corporate Director 7 January 2011 The following Appendix is attached: Appendix 1 – Executive response to the Report of the Economy and Culture Scrutiny Committee report into the future of Cardiff Harbour Authority Appendix 1 EXECUTIVE RESPONSE TO THE ECONOMY AND CULTURE SCRUTINY COMMITTEE REPORT INTO THE FUTURE OF CARDIFF HARBOUR AUTHORITY Response to Recommendations: The report concluded that members of the Economy and Culture Committee consider that Cardiff Harbour Authority managing the Barrage and the Bay fits strategically with the Council’s visions in terms of current developments and future regeneration of the Bay area, and should be continued if possible. However, a 30% reduction in grant funding for 2011/12 will have significant implications for the Council and Harbour Authority. Members encourage the Executive to consider the following recommendations in their negotiations with the Welsh Assembly Government Ecosystem management R(1). Emphasise the importance of water quality and cleanliness to the Bay and that any reductions in maintaining water quality (e.g. oxygen levels) and debris removal will adversely affect safety, sports operations and the valuable image of the Bay. Response: Recommendation accepted. The Harbour Authority has to comply with the water quality standard of 5mg per litre set under the Cardiff Bay Barrage Act. WAG have been made aware of the importance of meeting the statutory water quality standard as well as the ongoing need to remove around 1000 tonnes of debris every year from Cardiff Bay. This is important to ensure that the waterfront remains attractive to local residents, visitors and potential investors. It is also essential for the ongoing development of the ecosystem that has established in the freshwater environment since the barrage was impounded in 2000. R(2). Fully support plans to reduce the financial burden of the existing monitoring regime given the 10 year establishment of the Bay and that there is confidence in ten years of historical environmental information. Response: Recommendation accepted The Harbour Authority undertakes extensive ecological and water quality monitoring in the Bay. Some reduction in the extent of monitoring is possible given the knowledge and understanding that has been gained over the past 10 years. This could result in some staff resource being able to be allocated to other tasks and a reduction in the need for some external specialists. Extensive water quality monitoring, which includes dissolved oxygen and salinity levels, is undertaken to ensure operations comply with the Barrage Act. Potential reductions in the monitoring programme are currently being discussed with the Environment Agency which has to agree to any proposed changes. Some reductions in the extent of chemical testing of groundwater samples and of the number of fixed monitoring stations in the Bay are thought likely to be accepted. Stakeholder Engagement R(3). Safeguard the existing levels of stakeholder engagement within the current negotiations as it plays a critical role in the effective running of the Bay. Members commend the positive response to the pervious scrutiny recommendations in 2006 that have resulted in improvements to the communication and stakeholder engagement framework operated by the Harbour Authority. Response: Recommendation accepted. The budget proposals being delivered by the Harbour Authority will not impact on the stakeholder engagement that has been developed. The Cardiff Bay Advisory Committee is a statutory consultative group that has to remain in place and the other stakeholder engagement activities such as regular visitor and stakeholder surveys, participation in Waterfront Partners and neighbourhood management activities are integrated into the day to day operations of the Harbour Authority. Marketing R4. Risk assess the implications of lower Welsh Assembly Government funding for the marketing of the Bay upon the existing joint marketing arrangements for the city as a whole. Response: Recommendation accepted. The marketing of Cardiff over the past 10 years has been carried out with the Bay area included as an integral part of the City. This integrated approach to the marketing the city as a whole without compromising the specific needs of Cardiff Bay will continue. Consideration is currently being given as to how the risk of the impact of the likely budget reduction from the Harbour Authority on the overall marketing of the City might be mitigated. R5. Consider what improvements can be made to signage of Cardiff Bay within the city centre so that visitors to the city centre are aware of the location of the Bay and the transportation routes available. Response: Recommendation accepted. The first phase of the City centre “wayfinding” signage project has recently been completed in the City centre. This includes information at both the main station and Queen Street on the location and access to Cardiff Bay. The next phases of this project are currently being developed and will include more awareness of locations around the City including the Bay where appropriate. The Tourist Information Centre in the Hayes also carries free visitor maps that show how to access the Bay and also provides information on the wide range of public transport links that are available. Further improvements are planned as a continuation of the ongoing Sustainable Travel City Programme. Events R6. Develop a cohesive approach to its events programme that improves the linkages between the city centre and the Bay and improves winter provision. In particular consider the possibilities of alternating the location of winter wonderland between the city centre and Bay each year and seek to maximise other commercial uses for the Oval Basin. Response: Recommendation partially accepted. The City wide events programme includes Harbour Authority events and is already planned, marketed and delivered mainly by the Cardiff events team. The events team, commercial marketing and sponsorship and Cardiff Harbour Authority will all be managed within the same service area, City Management, following the recent senior management reorganisation providing the framework for further improved alignment of the city and bay events programme. Winter Wonderland has been located in the civic centre for 10 seasons and is a key driver for retail and hotel business in the city centre. The event itself is a £600,000 a year operation with15% of its operating costs funded by the Council. The remainder is funded by ticket income, sponsorship, trade stands and franchise income. A high proportion of the ticket income is from people “walking up” before or after the theatre, shopping or a night out. Similarly bar and catering income is dependent upon patrons who call into winter wonderland when visiting the city centre to
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