West Yorkshire Combined Authority Consultation Process: April 26 th to May 17 th Supporting Information Key Messages - A Combined Authority would be a way of getting much more money for transport. In total, the Combined Authority will manage investment in transport and economic infrastructure worth 1.5bn. The Transport element alone ( 1bn) will deliver 20,000 jobs in the medium term and 1bn GVA per year. - A Combined Authority would get local authorities working smarter together on more agendas than just transport in particular working with businesses and the LEP - West Yorkshire has a lot to shout about there s 2.2 million of us a Combined Authority would make Government listen and instil trust in us to manage their money and our own affairs. - A Combined Authority can better connect people to jobs, create conditions for businesses to thrive and restore growth and prosperity. - Things would have to change anyway! We need to set up a Local Transport Body to act as the accountable body for DfT funding; the Combined Authority will be this accountable body.. Frequently Asked Questions What is a Combined Authority? A Combined Authority can be set up when two or more contiguous local authorities, covering an area s natural economic footprint, want to collaborate more closely together, on a voluntary basis to improve economic outcomes. A Combined Authority is a legal body and one local authority may only be part of one Combined Authority. Page 1 of 5
A Combined Authority is responsible for delivering an integrated transport network in the area it covers. The Secretary of State has the option to hand a Combined Authority additional transport related powers and functions. A Combined Authority must also exercise specific economic development and regeneration functions for its area (again on a voluntary basis.) As a minimum this includes well-being powers and the General Power of Competence. How is it funded? A Combined Authority levy s its constituent local authorities and can borrow (with regards to its transport functions only.) There are some concerns that it will cost businesses through business rates but this isn t the case. Funding for transport doesn t come from business rates. It is already paid for through Council Tax and the Government grant that goes directly to Councils. There is new money from Government for this ( 180m over ten years from 2015) and by working together through a Combined Authority, this money will go further. Is this being forced on us by Government? No, the creation of a Combined Authority is entirely voluntary but if local authorities want to set one up, they must: - Review existing governance arrangements to decide whether a Combined Authority would improve these arrangements (looking at statutory functions in relation to transport, economic development and regeneration in the area) - Define the constitutional and operating arrangements of the Combined Authority through a draft Scheme (if the Review concludes that a Combined Authority would benefit an area) What prompted West Yorkshire to consider setting up a Combined Authority? The Leeds City Region City Deal, signed off by Government in July 2012, requires the creation of a Combined Authority for West Yorkshire to draw down a major package of devolved powers and funding. How will York be involved with the West Yorkshire Combined Authority? York is currently finalising its own Governance Review which articulates the economic rationale for formal collaboration with West Yorkshire through the Combined Authority. As the legislation stands, York cannot be a formal member of West Yorkshire s Combined Authority because it does not border any of the five authorities (the boundaries aren t contiguous. ) Page 2 of 5
However, efforts are being made to argue the case for legislative change and this is something that CLG is currently progressing. Even if the legislation is changed it is extremely unlikely that this will be passed before the West Yorkshire Combined Authority is formally established in April 2014. Until the necessary legislation is in place York will be invited to become a partner member on the Combined Authority. What will it mean for the other local authorities in the Leeds City Region? The other local authorities in the City Region will be able to collaborate with the West Yorkshire Combined Authority using a plug and play model. For example, co-investing in the West Yorkshire Plus Transport Fund and/ or pooling business rates in the Leeds City Region Economic Investment Fund. The Combined Authority will provide all Leeds City Region local authorities with a body corporate that can act as the accountable body for the devolved powers and funding agreed in the City Deal. How will the LEP relate to the Combined Authority? The LEP s relationship with the Combined Authority will be essential even though the exact geographical areas they both cover will be different. Both the Combined Authority and the LEP are focussed on promoting economic growth and they must be designed to co-ordinate their efforts to work towards this common goal, as articulated in the Leeds City Region shared vision and Plan. LEP membership on the Combined Authority is one proposed way of ensuring that the business focus of the LEP is brought to bear within the Combined Authority. All West Yorkshire and Leeds City Region projects in scope for investment will be appraised by a Single Appraisal Framework which is currently being developed. What functions will the Combined Authority be responsible for? As outlined in the draft Scheme for the Combined Authority, it is proposed that the Combined Authority carries out those duties and functions which are currently exercised by the ITA as well as the functions which are required to deliver the City Deal: Managing the West Yorkshire Plus Transport Fund Devolved rail franchising Making the ultimate decision on how the Leeds City Region Economic Infrastructure Fund is spent. Page 3 of 5
The Combined Authority will also be ultimately responsible for the various operational responsibilities currently exercised by the PTE (although many of these will be delegated.) What will it mean for the ITA and PTE? If a Combined Authority is established, the West Yorkshire Integrated Transport Authority (ITA) would be dissolved and its strategic powers would be transferred to a Transport for West Yorkshire Joint Committee which would sit underneath the Combined Authority. A separate body would still be required to deliver transport functions and there are two broad options for this (which form a key part of the consultation): Transfer the PTE (i.e. Metro) to the Combined Authority and the Combined Authority delivers the functions. or: The PTE delivers the functions for the Combined Authority as a separate legal entity, reporting directly to the Combined Authority Will it result in more bureaucracy? No, the intention is that the Combined Authority will make decision making on transport and economic investment a lot simpler and more transparent with clearer lines of accountability. For example, Leaders will be able to make decisions on the West Yorkshire Transport Fund without having to refer to Full Council. This will mean that the positive outcomes resulting from their decisions will be generated a lot quicker. Will the activities of the Combined Authority be scrutinised? Yes, Leaders want the activities of the Combined Authority to be transparent and open to scrutiny. They have agreed it would be most efficient to build this scrutiny into the governance arrangements for the Combined Authority (to avoid all five authorities having to take on this responsibility and duplicating their efforts along the way.) What this type of joint scrutiny might look like is still to be agreed, and views are being sought on this as part of the consultation. The West Yorkshire Legal Officers are working on some detailed options. It is anticipated that the Joint Scrutiny Committee will be chaired by an opposition member. Will there be a role for opposition parties? Yes, it is proposed that there are three places for opposition members alongside the Leaders on the Combined Authority. Page 4 of 5
Opposition members will also be represented on all the Combined Authority s subcommittees. What support structures will the Combined Authority have in place? Discussions about the supporting and delivery arrangements of the Combined Authority will follow once there is consensus amongst Leaders and the LEP about the scope of the Combined Authority, i.e. form follows function. Once there is agreement about its scope, it will be time to finalise thinking about substructures and delivery arrangements. The results of the consultation process will play a key role in informing these decisions, although the Scheme that is submitted in July will not need to refer to a lot of this detail (i.e. about officer structures.) However, the Scheme will need to clarify whether the PTE is to remain a separate legal body or to be transferred into the Combined Authority. Will a shadow Combined Authority be put in place? Yes, Leaders have agreed a shadow Combined Authority will be put in place from September 2013 onwards. This will be a vital part of the transition phase prior to the Combined Authority s formal establishment in April 2014. Page 5 of 5