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Dated 20[ ] (1) Cornwall Council (2) the Harbours Board Dated 20[ ] (1) Cornwall Council (2) The Harbours Board ______________________________________________________ MEMORANDUM OF UNDERSTANDING IN RESPECT OF THE PORTS OF NEWQUAY, TRURO, PENZANCE, FALMOUTH (PRINCE OF WALES PIER), PENRYN BUDE AND ST IVES, PORTWRINKLE, PORTSCATHO AND PORTREATH Draft MOU Oct 2019 CONTENTS Clause 1. Definitions and Abbreviations 2. Purpose of Memorandum of Understanding 3. Ports Good Governance Guidance 4. General commitments of Cornwall Council and the Harbours Board 5. Agreements of Cornwall Council and The Harbours Board 6. Agreement of Cornwall Council 7. Agreement of The Harbours Board 8. General 9. Term 10. Confidentiality Appendices (1) Extract from the Ports Good Governance Guidance (2) Asset Register (3) The Harbours Board Guidance Notes (4) Organisational Structure 2 MEMORANDUM OF UNDERSTANDING This Memorandum of Understanding is made on the day of 20[ ] Between Cornwall Council whose principal place of business is at New County Hall, Treyew Road, Truro TR1 3AY (hereinafter referred to as ‘CC’) and The Harbours Board (a Committee of CC) whose principal place of business is at New County Hall, Treyew Road, Truro TR1 3AY (hereinafter referred to as ‘HB’) Who are jointly referred to in this Memorandum of Understanding as ‘the Parties’ WHEREAS: 1. CC is the Owner, Port Authority and where relevant the Competent Harbour Authority for the Ports of Truro, Penryn, Penzance, Falmouth (Prince of Wales Pier), Bude, St Ives, and Newquay, Portwrinkle, Portreath and Portscatho (‘the Ports’); 2. The Carrick Harbours Board (“CHB”) was a Committee of the Council set up on 25 July 2007 pursuant to the provisions of the Local Government and Housing Act 1989 and having regard to the recommendations for governance made in the Municipal Ports Review published by the Department for Transport in May 2006. 3. The CHB was established to exercise the Carrick District Council’s functions in respect of the Ports of Truro and Penryn. 4. Cornwall Council took over responsibility for the Carrick District Council’s functions as a result of the abolition of the County and District Council’s and creation of a new Unitary Authority, Cornwall Council, in April 2009. 5. Cornwall Council at its full Council meeting on 27 July 2010 resolved that Newquay Harbour be incorporated into the remit of the existing Harbours Board, the Board for the Ports of Truro and Penryn be renamed ‘The Harbours Board’, and the HB manage the assets of Newquay Harbour in accordance with a new Memorandum of Understanding between the Board and the Council. 6. The resultant effect was that the Harbours Board was then made up of the Ports of Truro, Penryn and Newquay. 7. The Harbours Board was established as a Committee of Cornwall Council pursuant to the provisions of the Local Government and Housing Act 1989 and having regard to the recommendations for governance changes made in the Municipal Ports Review; and 8. The MOU was a requirement pursuant to the recommendations made in the Review of the Municipal Ports in England and Wales (‘MPR’) published by the Department for Transport and the Department for Communities and Local Government in May 2006; and 9. The Parties wished to set out their commitment to implementing the recommendations contained in the MPR relevant to the establishment of the HB. 3 10. Following a further review of Ports and Harbours throughout Cornwall, Cornwall Council when meeting on 6 September 2011 resolved; a. St Ives Harbour be incorporated into the remit of the existing Harbours Board; b. the Harbours Board, together with the appropriate offices, identify and include St Ives Harbour assets and make changes to the existing Memorandum of Understanding between the Board and the Council; c. St Ives Harbour and its assets be managed by the Harbours Board and the Council; and d. if appropriate, in accordance with Article 19.1 of the Constitution, the Constitutional Review Panel reviews the text of the Constitution to take account of any changes agreed by the Council. 11. In 2013 Cornwall Council resolved that Penzance Harbour be incorporated into the remit of the existing Harbours Board. 12. In 2015 Cornwall Council resolved that the remaining statutory harbours of Bude and Falmouth (Prince of Wales Pier) and the three non-statutory harbours of Portwrinkle, Portreath and Portscatho be incorporated into the remit of the existing Harbours Board. 13. In September 2019, Cornwall Council submitted an application for a Harbour Revision Order to modernise and consolidate the existing local statutory harbour legislation applying to the statutory harbours of the Ports of Truro, Penryn, Penzance, Falmouth (Prince of Wales Pier), Bude, St Ives, and Newquay. 14. [In September 2019, Cornwall Council also submitted an application for a Harbour Empowerment Order to turn the harbours of Portwrinkle, Portreath and Portscatho into statutory harbours, governed by the provisions of the Harbour Revision Order submitted in September 2019]. 15. This Memorandum of Understanding was prepared in support of the applications. 16. The existing CHB Memorandum of Understanding shall cease to have effect upon the completion of this Memorandum of Understanding. 1) Definitions and Abbreviations For the purposes of this MOU the following definitions and abbreviations shall apply; a) “MoU” shall mean Memorandum of Understanding. b) “PGGG” shall mean the Ports Good Governance Guidance published by the Department for Transport in March 2018 c) The “DfT” shall mean the Department for Transport. d) The “Parties” shall mean CC and the HB. e) The “Ports” shall mean the Ports and Harbours of Newquay, Penzance, Bude, Falmouth (Prince of Wales Pier), St Ives, Truro and Penryn, Portscatho, Portwrinkle and Portreath. f) The “Assets” shall mean the Property, Equipment and all other matters set out in the Asset Register at Appendix 2 annexed hereto. 4 2) Purpose of MoU a) Subject to the requirements of the Cornwall Council Constitution the purpose of this MoU is to: a. provide a clear framework for the decision making, accountability, and financial management of the Ports to enable the HB to address the balanced needs of the Ports as a business and an environmental and community asset, which takes full account of the commercial realities of municipal port operations; and b. assist in clarifying the role of the HB to carry out its functions under its terms of reference which is ‘to exercise the Council’s functions in respect of the Ports of Truro, Penryn, St. Ives, Penzance, Bude, Prince of Wales Pier (Falmouth) and Newquay and Portwrinkle, Portscatho and Portreath under section 57 (1) of the Harbours Act 1964 and its functions as Harbour Authority under local legislation as follows: (1) Port of Truro (i) Pier and Harbour Orders Confirmation (No.6) Act, 1903 article 10(1) only (ii) Cornwall Harbours Harbour Revision Order 20[ ] (2) Port of Penryn (i) Cornwall Harbours Harbour Revision Order 20[ ] (3) Newquay Harbour (i) Cornwall Harbours Harbour Revision Order 20[ ] (4) St Ives Harbour (i) St Ives Harbour Order 1886, article 21 and 22 only (ii) St Ives Harbour Revision Order 1993, articles 7 and 8 only. (iii) Cornwall Harbours Harbour Revision Order 20[ ] (5) Bude Harbour (i) An Act for improving the Harbour of Bude, in the County of Cornwall; and for making and maintaining a Navigable Canal from the said Harbour of Bude to or near the Village of Thornbury, in the County of Devon, and divers Branches therefrom, all in the said Counties of Cornwall and Devon, 1819, sections 26 and 27 only. (ii) Cornwall Harbours Harbour Revision Order 20[ ] (6) Falmouth (Prince of Wales Pier) (i) Falmouth Piers Order 1952, articles 8 and 9 only (ii) Cornwall Harbours Harbour Revision Order 20[ ] 5 (7) Penzance Harbour (i) Penzance Albert Pier Extension Act 1990, articles 3, 5 and 6 only (ii) Penzance South Pier Extension Act 1990, articles 3, 5 and 6 only (iii) The Penzance Harbour Revision Order 2009, article 3,5, 6, 25 and 26 only (iv) Cornwall Harbours Harbour Revision Order 20[ ] (8) Portwrinkle Harbour (i) Portwrinkle, Portreath and Portscatho Harbour Empowerment Order 20[ ] (ii) Cornwall Harbours Harbour Revision Order 20[ ] (9) Portreath Harbour (i) Portwrinkle, Portreath and Portscatho Harbour Empowerment Order 20[ ] (ii) Cornwall Harbours Harbour Revision Order 20[ ] (10) Portscatho Harbour (i) Portwrinkle, Portreath and Portscatho Harbour Empowerment Order 20[ ] (ii) Cornwall Harbours Harbour Revision Order 20[ ] b) The statutory role and functions of the Parties are not affected by the requirements of the MoU. c) This MoU is a statement of the understanding between CC and the HB. The MoU is not, and is not intended to be, legally binding to either party. The detailed working arrangements may change over time by the agreement of CC. d) The MoU provides that the Ports will be governed according to best practices as set out in the PGGG. 3) Ports Good Governance Guidance a) In March 2018, the DfT’s Ports Good Governance Guidance replaced the previous key government guidance applying to municipal ports (“Opportunities for Ports in Local Authority Ownership: A Review of Municipal Ports in England and Wales”). b) Like the withdrawn guidance, the PGGG sets out a number of recommendations for the accountability, governance, and finance of Ports within the Municipal Sector. 6 c) It has been agreed by CC that this MoU be drawn up to address the recommendations contained in the PGGG. Extracts from the PGGG relating to Harbour Management Committees are set out at Appendix 1. d) This MoU is prepared on the basis of the recommendations of the PGGG. However, it is recognised by the Parties that the PGGG deals with short, medium and long term issues. It is fully appreciated that circumstances may change and for this reason a review and monitoring mechanism is essential to underpin this process. e) On this basis it is intended that a Report will be put to the HB annually to allow the HB to review and monitor this MoU and recommend to full Council any changes to it as are required by amendments to the PGGG or developments in respect of the PGGG.
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