To consider the above matter.

The Board considered the draft Torbay Economic Development Company Business Plan for 2011/12.  The Chief Executive Officer, Torbay Economic Development Company, TEDC, outlined the draft business plan and indicated that the Bay’s economy remained extremely weak and the activities of TEDC were unlikely to lead to significant improvement in economic performance.  The Board was advised that the activities of TEDC could bring about change, improve skills, and influence others.  The Chairman of TEDC advised the Board of the benefits of an economic development company.  The Mayor outlined the approach, role, and value of TEDC within the context of current economic circumstances.

Members questioned where in-year budget savings or efficiencies were identified in the business plan.  In response, the Chief Executive Officer (TEDC) advised the meeting that the business plan budget for 2011/12 incorporated savings agreed previously and that possible savings of up to fifteen per cent had been identified for TEDC’s 2012/13 budget, which was being prepared. 

In reply to questions concerning the risks contained within the draft business plan, the Board was advised that certain risks were not new and had been judged high for a number of years.

Members questioned where the TEDC’s commitment to help deprived communities appeared in the business plan.  In reply the Board was advised by the Chief Executive Officer, TEDC, of examples of help to target deprived wards, including the Cockington Sea Change Project, and received an acknowledgment that such a commitment could be reflected more fully in the final business plan.  Board members were advised that contractors working on Council programmes were being asked to work with deprived wards, including the provision of training programmes.

Board members asked for confirmation that Oldway would be vacated by the end of September and were advised that the programme of relocating staff was under review.  The Board was advised that TEDC was not involved in the relocation of staff from Oldway.  In response to questions about the amount of money put aside for the physical regeneration of Torquay Harbour, the Board was advised that a pre-feasibility study was being undertaken by TEDC.

In reply to questions about the lack of previous financial accounts, Board members were advised that TEDC was a new company and that figures for the former Torbay Development Agency budgets had been used to form indicative accounts.  The Board was informed that the value of buildings and other assets of TEDC would be ascertained during 2011/12. 

In response to a suggestion that the TEDC should recognise the need to reduce the fees that the Council paid to the company, the Chairman of TEDC indicated to the Board that empire building or maintaining funding levels was not a TEDC ambition.

The Executive Lead Member for Involved and Healthy Communities suggested the value of appointing a voluntary or community sector representative to the TEDC Board.  In response, the Chairman of TEDC indicated he welcomed the proposal in principle.

Resolved:  (i)  that with reference to its business plan, the TEDC be recommended to further promote its role in ensuring there are pathways to employment for people living in deprived areas;

(ii)  that TEDC be recommended to consider appointing a third sector representative to its Board;

(iii)  that the Overview and Scrutiny Board members be provided with details and criteria for the 500 plus jobs reportedly safeguarded by the TEDC; and

(iv)  that with reference to TEDC business planning, the Overview and Scrutiny Board members be provided with information showing the financial amount budgeted per job created.

(Note:  Prior to consideration of the item in Minute 193, Councillor Tyerman declared a personal interest as a Council appointed Director of Torbay Economic Development Company Ltd.)