To submit a report by the Head of Regulation and Economic Development.
Minutes:
The report of the Head of Regulation and Economic Development setting out the arrangements for the establishment of the Porthladd Rhydd Ynys Môn including governance and budget considerations was presented for the Executive’s consideration.
The Chief Executive summarised the work to date to bring matters to this point which had involved extensive discussions with stakeholders and input from the Council’s advisors as well as from Officers of the Council’s Economic Development, Resources, Legal and Risk Management services which was in addition to their day-to-day responsibilities. He brought the Executive up to date on the progress of the draft Outline Business Case (OBC) for the Anglesey Freeport submitted to Government and the timeline for its approval and the subsequent delivery of the Full Business Case (FBC) and completion of a Memorandum of Understanding.
The Head of Regulation and Economic Development reported on the proposed approach to governance of the Freeport entity and the draft Freeport budget as set out in the report. The March meeting of the Executive delegated authority to Officers in consultation with the Leader and Portfolio Holder for Economic Development to agree the Articles of Association for the proposed Freeport Company and its Members Agreement and to continue negotiations with key stakeholders and invite them to be members of the company. Heads of Terms for the proposed company to be named Porthladd Rhydd Ynys Môn Cyf. have now been drafted and are attached as Appendix 1 to the report. The timetable for the conclusion of the OBC process implies the Freeport becoming operational in July 2024 which has implications as regards the establishment of the Freeport legal entity, the putting in place of landowners agreements and ensuring some operational and delivery capacity for the Freeport. The report addresses these matters, refers to the activities the Freeport is expected to undertake to deliver the Freeport programme and expands on the Freeport’s proposed draft budget.
The considerable work put in by Council Officers in progressing the establishment of the Freeport was acknowledged by the Chair and the Executive’s Members. The timescales with regard to the Outline and Full Business Cases were discussed and questions asked regarding factors and/or developments that could impact on those timescales as well as any associated risks to the Council. Officers provided further clarifications and assurances in relation to the matters raised.
It was resolved –
· To delegate authority to the Chief Executive in consultation with the Leader and Portfolio Holder for Economic Development, the Director of Function (Council Business)/Monitoring Officer and the Director of Function (Resources)/Section 151 Officer to make the Council a Founding Member of the Porthladd Rhydd Ynys Môn Cyf. (the Freeport Company) alongside key local stakeholders.
· To delegate authority to the Chief Executive in consultation with the Leader and Portfolio Holder for Economic Development, the Director of Function (Council Business)/Monitoring Officer and the Director of Function (Resources)/Section 151 Officer to finalise and sign the Articles of Porthladd Rhydd Ynys Môn Cyf. (the Freeport Company) and its Members Agreement.
· To delegate authority to the Chief Executive in consultation with the Leader and Portfolio Holder for Economic Development, the Director of Function (Council Business)/Monitoring Officer and the Director of Function (Resources)/Section 151 Officer to finalise and sign the Landowner Agreements between IACC, Porthladd Rhydd Ynys Môn Cyf. (the Freeport Company) and each relevant landowner and/or occupier as required.
· To approve the proposed draft budget for the Porthladd Rhydd Ynys Môn and the role of IACC as Accountable Body.
· To delegate authority to the Director of Function (Resources)/Section 151 Officer in consultation with the Portfolio Holder for Finance to review and approve the final budget when submitted by Porthladd Rhydd Ynys Môn. The 2024/25 budget expenditure (including contingency) is expected to be as per the table at page 7 of the report.
· To note that any implications for the Council’s budget will be set out for approval within the Full Council Budget for 2025/26.