Agenda item

Report of Head of Strategic Planning and the Economy

Purpose of report

This report presents the final business case following consultation for a Joint Economic Growth Service across Cherwell District and South Northamptonshire Councils (hereafter “Cherwell” or “CDC” and “South Northamptonshire” or “SNC” respectively).

The report recommends the formation of a two way Joint Economic Growth Service and in doing so seeks the Executive’s agreement for the non-staffing elements of the business case.

The proposal is part of the wider transformation programme across the two Councils.

Recommendations

The meeting is recommended:

1.1       To consider the attached final business case and the consultation responses in relation to non-staffing matters as outlined in section 5.1.

1.2         To note that the business case will be considered by the Joint Commissioning Committee with regard to staffing matters on 1 October 2015. This will include consultation responses from affected staff and trade union representatives.

1.3         To approve and implement the proposed final business case to share a joint Economic Growth Service between CDC and SNC, subject to similar consideration and approval by SNC Cabinet and approval of the staffing implications by the Joint Commissioning Committee.

1.4          To delegate to the Head of Strategic Planning and the Economy in consultation with the Leader of the Council any non-significant amendment that may be required to the business case following the decision by SNC Cabinet and/or the Joint Commissioning Committee.

Resolved

(1)          That the exempt final business case and the consultation responses in relation to non-staffing matters be considered and noted.

(2)          That it be noted that the exempt business case would be considered by the Joint Commissioning Committee with regard to staffing matters on 1 October 2015 and this would include consultation responses from affected staff and trade union representatives.

(3)          That the implementation of the proposed final business case to share a joint Economic Growth Service between CDC and South Northamptonshire Council (SNC) be approved, subject to similar consideration and approval by SNC Cabinet and approval of the staffing implications by the Joint Commissioning Committee.

(4)          That authority be delegated to the Head of Strategic Planning and the Economy, in consultation with the Leader of the Council, to make any non-significant amendment that may be required to the business case following the decision by SNC Cabinet and/or the Joint Commissioning Committee.

The Head of Strategic Planning and the Economy submitted a report which presented the final business case, following consultation, for a Joint Economic Growth Service across Cherwell District Council (CDC) and South Northamptonshire Councils (SNC).

The report recommended the formation of a two way Joint Economic Growth Service and in doing so sought the Executive’s agreement for the non-staffing elements of the business case. The proposal was part of the wider transformation programme across the two Councils.

Resolved

(1)          That the exempt final business case and the consultation responses in relation to non-staffing matters be considered and noted.

(2)          That it be noted that the exempt business case would be considered by the Joint Commissioning Committee with regard to staffing matters on 1 October 2015 and this would include consultation responses from affected staff and trade union representatives.

(3)          That the implementation of the proposed final business case to share a joint Economic Growth Service between CDC and South Northamptonshire Council (SNC) be approved, subject to similar consideration and approval by SNC Cabinet and approval of the staffing implications by the Joint Commissioning Committee.

(4)          That authority be delegated to the Head of Strategic Planning and the Economy, in consultation with the Leader of the Council, to make any non-significant amendment that may be required to the business case following the decision by SNC Cabinet and/or the Joint Commissioning Committee.

Reasons

The business case represents a major milestone in the revised transformation programme across CDC and SNC. The proposed joint team would provide an improved and strengthened service to support economic growth in each district by existing businesses and those looking to invest by working together, sharing expertise and best practice and taking advantage of economies of scale and providing resilience.

Alternative options

Option 1: Retain the status quo

Retaining the status quo is an option should Members wish to do so as each team has demonstrated its effectiveness in delivering economic growth and each Council has examples of best practice. However, retaining the status quo would limit the opportunities available to progress the work carried out by Deyton Bell and the recommendations from the LGA report, including collaboration and moving towards an ‘open for business’ approach. The ‘do-nothing’ option is not recommended.

Option 2: Two-way shared service with a single Economic Growth Manager

An alternative two way shared service structure has been considered. This would see an additional post ‘Economic Growth Manager’ reporting directly to the Head of Service and having line management responsibility over the two team leaders.

This option has been discounted as the preferred option of two Lead Officers is an affordable model that provides geographic focus for the partners and reflects the different priorities and economies of each district. Adding an additional service manager would represent a cost increase on the proposed structure. This option could be re-visited in the future should additional partners join the structure or significant changes occur to the organisational structure of the Councils.

Option 3: Three-way collaboration and shared service with Stratford-on-Avon District Council.

A three-way collaboration with SDC is certainly a realistic option and has been given serious consideration. However, while it remains possible to progress with certain economic collaboration activities with SDC and this should be encouraged where it benefits all parties, due to the SDC Council decision in December no further formal shared service projects are being considered across the three Councils at this time.

Option 4: Three-way collaboration and shared service with other partners.

A three-way collaboration with other partners is certainly an option to consider in the future, as there are clear benefits to wider economic growth collaboration.

However, other than SDC (considered above) there are no other existing relationships at a sufficient stage to consider as part of a three-way shared service at this point. The process of developing such a relationship is likely to be lengthy and while this option should be considered again in the future, it should not be pursued at this time to the detriment of other options.

The approach in the recommendations is believed to be the best way forward. The proposal is to establish a Joint Economic Growth service between CDC and SNC and to begin a programme of collaboration and alignment including the sharing of best practice, aligning strategies and developing common projects.