Agenda item

            The Director of Property and Projects submitted for the Committee’s consideration the undernoted report:

“1.0    Relevant Background Information 

1.1      Members are aware that since their inception the AWGs have played an integral role in recommending investment decisions in terms of LIF and Local Interventions to the SP&R Committee. It was also previously agreed at SP&R in November 2012 that the AWGs would play a central part in recommending decisions related to the Belfast Investment Fund (BIF).

2.0      Area Working Group Updates including LIF and Local Interventions

2.1      At the most recent round of AWGs, officers updated Members on the external meetings they have facilitated on the LIF proposals. In accordance with Council procedures, individual Members declared any conflicts of interest and this was noted in the minutes of the AWG. Members also had the opportunity to discuss potential reallocations of LIF monies for projects which are no longer progressing. On the basis of the information presented, the Shankill and East AWGs have made the following recommendations for the consideration of the Committee:

           SHANKILL AWG -  Local Investment Fund

2.2      The Shankill AWG has made the following recommendation for the consideration of the SP&R Committee in relation to their Local Investment Fund money.  This is from the reallocation of monies from LIF projects which are no longer proceeding (see 2.4  below)

           EAST AWG -  Local Intervention Fund  

2.3      The East AWG has made the following recommendation for the consideration of the SP&R Committee in relation to their Local Intervention Fund money. Members are asked to note that this is out of the original budget allocation of £100,000

           Local Investment Fund – Projects no longer proceeding

2.4      Members will recall that it was highlighted that a number of LIF projects which had received in principle recommendations for funding had made limited progress in terms of going through the due-diligence process and it was likely that a number would no longer be able to proceed for a variety of reasons including the groups’ capacity to manage capital projects, the scale and complexity of some schemes and the fact that many are reliant on match funding that is not yet in place, particularly from SIF.  It was also highlighted that even projects which have gone through due-diligence may still not complete due to a range of external factors including planning and match funding. It was agreed in November 2013 that the Director of Property & Projects would write out to all projects and that the AWGs would then have the opportunity to reallocate monies to alternative projects or existing LIF projects which require additional funding.   Members are asked to note that the following projects which had previously received in principle funding commitments are now no longer proceeding and AWGs have either reallocated these monies and/or are considering further projects for funding. 

           The North AWG is currently looking at the potential reallocation of a number of other projects which are not likely to proceed. A further update on these will be brought back to committee if required.

2.5      Local Investment Fund – projects which have changed scope

           Members are asked to note that the following LIF projects have changed scope from the original proposals recommended by the AWGs. The relevant AWGs have agreed the change in scope to these proposals. Members are asked to note that the amount of funding has not changed and the main outcomes of the projects have not changed.

3.0      Current status – BIF projects

3.1      Members are aware that BIF was established to enable the Council to take a lead role and work in partnership to deliver key investment projects across the city.  Members have previously agreed an approval process for all BIF projects which reflects the Stage Approval process for all Council capital projects. The first stage of this process is the development of a Strategic Outline Case (SOC) which will test the four abilities of the projects – i.e. feasibility, deliverability, affordability, sustainability. The SP&R Committee has already agreed that 19 projects progress to Stage 1.  Committee further agreed last month to move 3 of these (St. Comgall’s, St. Mary’s CBS pitches and Stranmillis Gateway) to Stage 2 and the development of an Outline Business Case.

3.2      The North AWG has now recommended that an additional project, the development of business incubation units by Cliftonville Community Forum, be added to the emerging BIF list. As highlighted above, this project had previously received in principle commitment of funding for £100,000 under LIF. However the project was dependent on receiving match funding from SIF which is now not progressing.  The North AWG is therefore recommending that the funding under LIF is de-committed and the project is instead progressed under BIF.

3.3      Members are asked to asked to consider if they wish to progress the project as recommended by the North Area Working Group to be  moved to Stage 1 (i.e. the development of an SOC) which will test its feasibility in the first instance.  Members are asked to note that this does not constitute a final decision to invest in any project. Members are also asked to note that officers are continuing to work with groups to progress the development of the remaining BIF projects to help bring these up to a state of readiness where Members can take informed investment decisions to a later stage.

4.0      Equality Implications

           Emerging equality implications to be considered as further details emerge of projects   

5.0      Recommendations

           Committee is asked to note the contents of this report and  -

           Local Investment Fund and Local Intervention monies

·        agree the Local Investment Fund and Local Intervention recommendations as proposed by the East and Shankill AWGs

·        note the Local Investment Fund projects which are no longer proceeding.  AWGs are considering the reallocation of monies from projects which are no longer proceeding

           Belfast Investment Fund

·        agree if the suggested BIF project as outlined in  3.2 above (Cliftonville Community Forum) is progressed to the next stage and completion of an Outline Business Case.  Members are asked to note that this does not constitute a final decision to invest and that further detail will be brought back to Committee in due course for Members to make the final investment decision.”

            The Committee adopted the recommendations.