Your Councillors

Enterprise Zone Memorandum of Understanding

 

THIS AGREEMENT is dated [30th September] 2016

PARTIES                                                   

1.            THE SECRETARY OF STATE FOR COMMUNITIES AND LOCAL GOVERNMENT whose principal address is 2 Marsham Street, London, SW1P 4DF (Secretary of State);

2.            Each of the local authorities for the area of the Enterprise Zone, whose names and principal addresses are listed at Schedule 1 (together the Relevant Local Authorities)

3.            The Local Enterprise Partnership for the area of the Enterprise Zone, whose names and principal addresses are listed at Schedule 2 (where a local enterprise partnership does not have corporate status then the Accountable Body who acts as the representative is listed)  (together with the Local Enterprise Partnership)

BACKGROUND

A.      The Secretary of State has the power to declare an area to be an Enterprise Zone.

B.      Enterprise Zones are single or multiple sites designated for business development which may offer business rate discounts or enhanced capital allowance for new businesses locating on the sites. Enterprise Zones are on sites which would ordinarily not be expected to generate significant business growth nor generate any business rates without incentives and /or dedicated local stakeholder support.  Any increase from business rates income which arise from the development of an Enterprise Zone site will not be affected by business rates reform, reset or redistribution for a period of 25 years.

C.      A local enterprise partnership is a voluntary partnership between local authorities and businesses to help determine local economic priorities and lead economic growth within their local area.  This includes arrangements for the establishment and operation of Enterprise Zones. As some local enterprise partnerships are not corporate bodies, a local authority may act as an accountable body on their behalf.

D.      In agreement with the Local Enterprise Partnership local authorities responsible for all or part or all of an Enterprise Zone use any increase in business rates they collect from each Enterprise Zone site to support the further development of the Enterprise Zone and  neighbouring areas.

E.       Taking account of the application included within the attached schedule and other representations made by the Local Enterprise Partnership, the Secretary of State with the agreement of the Chancellor of the Exchequer offers the Local Enterprise Partnership and Relevant Accountable Bodies the right to set up and establish arrangements for the operation of the Enterprise Zone subject to the terms and conditions set out within the other paragraphs of this Memorandum of Understanding. To allow all parties to review their interests, in the first instance this Memorandum of Understanding extends to 2020.

 

 

IT IS AGREED THAT:

1              definitions

In this Memorandum of Understanding the following words and phrases shall have the following meanings:

“Accountable Body” means a local authority organisation(s) responsible for one or more aspects of the operation of the Enterprise Zone in line with plans agreed with the Local Enterprise Partnership. 

 “Application” means the application for enterprise zone status submitted to the Secretary of State by the Local Enterprise Partnership on [18th September 2015] (which may be amended from time to time after the date of this Memorandum of Understanding) and includes each of the representations at Schedule 3 of this Memorandum of Understanding (in the event of conflicting statements, Schedule 3 and then the latest validly made variation shall take priority).

“Enterprise Zone” means one or more sites which under the Regulations (as amended from time to time) are able to offer specific business incentives and permitted by the Secretary of State to market themselves as such.

 “Regulations” means 'Capital Allowances (Designated Assisted Areas) Order 2016', ‘Non-Domestic Rating (Designated Areas) Regulations 2016”, and ‘Non-Domestic Rating (Rates Retention) Regulations 2013”. 

“Relevant local authorities” means a local authority on which all or part of an Enterprise Zone is situated and as a consequence collects business rates from businesses in operation on that site.

“Term” means the earlier of 31 March 2020 or the date of the Secretary of State, each of the Local Enterprise Partnership or each of the Relevant Local Authorities giving written notice to the other parties to this Memorandum of Understanding of its intention to terminate the Enterprise Zone status under clause 5. 

2              AGREEMENT TO SET UP AND OPERATE AN ENTERPRISE ZONE

Having relied upon the representations made by the Local Enterprise Partnership in the Application, the Secretary of State offers the Local Enterprise Partnership and the Relevant Local Authorities the right to set up and operate the Enterprise Zone for the Term, subject to the terms of this Memorandum of Understanding, including the right to benefit from the following business incentives:

·         Permitting the Relevant Local Authorities to retain 100% of any business rate increase which accrues for a period of 25 years from the commencement date (this being [1st April 2017]) of the Enterprise Zone, providing that such sums are directed towards the development of the Enterprise Zones and into infrastructure and services to support enterprise and growth with the relevant local authorities’ areas[lr1] ;

·         Central government will reimburse the cost  incurred by Relevant Local Authorities in providing  a 100% business rates discount for a period of up to five years, to any business  which sets up operations within the Enterprise Zone site before 31 March 2022, and is able to receive the support within  the State Aid De Minimis threshold (or other limitation applicable by law);

·         As an alternative to the reimbursement of business rates, and up until 31st March 2020, Central Government will reimburse the Relevant Local Authorities the cost of allowing businesses occupying an Enterprise Zone sites within an Assisted Area to count 100% up to €125 million of their first years’ expenditure on qualifying plant and machinery assets against taxable income as an Enhanced Capital Allowance (ECAs)

·         The Local Enterprise Partnership and Relevant Local Authorities can together agree to other local authorities benefitting from the benefits of the Enterprise Zone during the Term provided they have entered into an inter-party agreement as set out in 3.2 (a) and meet the relevant requirements in the regulations. In this situation, notice shall be given to the Secretary of State of the arrangement.

3.  Terms and Conditions

3.1          The Relevant Local Authorities and the Local Enterprise Partnership agree, having undertaken due investigation, that at the date of this Memorandum of Understanding:

(a)       The statements within the Application are accurate;

(b)       they are not aware of any information which is likely to materially undermine the ability of the Local Enterprise Partnership and the Relevant Local Authorities to deliver the Enterprise Zone in accordance with the Application and achieve the outputs; and

(c)       they are not aware of any information, which is likely to significantly delay the Local Enterprise Partnership in delivering the Enterprise Zone in accordance with the Application or achieving the outputs.

3.2          The Relevant Local Authorities and Local Enterprise Partnership confirm, having undertaken due investigation, that:

(a)       they have obtained or shall use all reasonable endeavours to promptly obtain necessary approvals, authorisations, consents, exemptions, licences, permits, permissions (including planning permission) or registrations necessary to deliver the Enterprise Zone in accordance with the Application;

(b)       they have or will secure the expertise and capacity to set up and operate the Enterprise Zone in accordance with the Application;

(c)       they will undertake all the steps to set up and operate the Enterprise Zone and confirm that each of these shall be achieved compliantly (including but not limited to achieving compliance with applicable procurement, state aid, planning law and all rules relating to the collection and distribution of business rates, discount, and use of business rates for investment); and

(d)       they will deliver the relevant incentives at Schedule 4 for the period set out in the Application and this Memorandum of Understanding.

3.3          The Relevant Local Authorities and the Local Enterprise Partnership agree to:

(a)           organise and promote a governance group for the Enterprise Zone which is able to make strategic and operational decisions. This shall include representatives of each relevant local authority and shall meet at least quarterly (“Governance Group”); and

(b)          enter into Memorandum of Understandings with each other which set agreed  objectives and priorities for the Enterprise Zone as well as terms necessary to give effect to this Memorandum of Understanding (for example, provisions covering the use of business rates retained by local authorities and how local authorities will use their general power of competence to support the Enterprise Zone, including but not limited to Compulsory Purchase Orders, simplified planning regimes, development orders, Joint Ventures and borrowing to support investment  and arrangements for the provision of monitoring data). Where during the Term, new local authorities become involved in the Enterprise Zone or the legal status of Local Enterprise Partnerships and local authorities involved in the Enterprise Zone changes, the Secretary of State requires that the Local Enterprise Partnership uses all reasonable endeavours to enter into new Memorandum of Understandings under this clause. Copies of these Memorandum of Understandings should be sent to the Secretary of State within 50 days of execution.

(c)           to use government subsidies provided for the Enterprise Zone (including the subsidy provided under this Memorandum of Understanding and the Regulations) for the objectives of the Enterprise Zone and in compliance with relevant laws.   

3.4          Implementation Plan

The Local Enterprise Partnership in consultation with the Relevant Local Authorities shall design and submit to the Secretary of State a 5 year implementation plan (which sets out the major steps and the individual(s) and organisation(s) who will be responsible to set up, operate and deliver the objectives and priorities which have been agreed for the Enterprise Zone) no later than 31st March 2017.

3.5      The Cities and Local Growth Unit shall support:

(a)           the set up and delivery of the Enterprise Zone (in particular through the  contact for the Enterprise Zone, which  is [             [lr2] ] (E-mail:                  Telephone:                             ) who shall advise on the procedures for establishing the zones and resolving issues, which may arise in relation to government funding or legal arrangements. The Local Enterprise Partnership and Relevant Local Authorities shall be informed if there is a change in the Cities and Local Growth Unit team contact.

(b)          Enterprise Zones by providing information on the Enterprise Zone to the market via press releases, its national Enterprise Zone website, Twitter account and other media; and

(c)           Collaboration, by inviting senior leaders from all England’s Enterprise Zones to meet to discuss progress, challenges and good practice with senior government officials and Ministers

this support shall be provided up until 31 March 2020 and may be renewed or subject to alteration after that date.

3.6          The Relevant Local Authorities and Local Enterprise Partnership shall:

(a)           send the Cities and Local Growth Unit contact the details of the primary point of  contact (“Local Enterprise Zone Contact”, a named representative agreed with the Local Enterprise Partnership) for the Enterprise Zone within 20 Working Days of entering into this Memorandum of Understanding. The Cities and Local Growth Unit contact shall be informed if there is a change in the Local Enterprise contact.

(b)           authorise the Local Enterprise Contact to discuss progress of the Enterprise Zone with the Cities and Local Growth Unit contact either in face-to-face or telephone meetings at least once a quarter. Such meetings shall be two-way enabling both parties to understand progress of the Enterprise Zone. Share information about the wider Enterprise Zone network and any issues which might adversely affect the planned progress of the Enterprise Zone.

(c)            take all reasonable steps to allow the Cities and Local Growth Unit team contact (or another team member in their place) to attend the Governance Group meetings (as mentioned at clause 3.5(a) including providing information on the date and location of meetings and sending papers which will be discussed. The Cities and Local Growth Unit team contact shall be entitled to decide whether they attend in an observer capacity or as a participant at the Governance Group meeting.

3.7          Marketing

The Relevant Local Authorities and the Local Enterprise Partnership agree to use all reasonable endeavours to

(a)    promote the Enterprise Zone;

  (b)      share with the Secretary of State a marketing plan for the Enterprise Zone within six months of entering into this Memorandum of Understanding; and

(c)     use DCLG and Enterprise Zone logos within marketing communications and signage.

3.8          Monitoring

The Relevant Local Authorities and the Local Enterprise Partnership agree to use all reasonable endeavours to complete the management information at Schedule 5 within 21 Working Days of the commission from DCLG, which will be quarterly at the end of January, April, July and October.

4.            changes

All changes to the text of the application or this Memorandum of Understanding must be approved by the Secretary of State in writing prior to the relevant change being deemed to be effective. Until such time as a change is made in accordance with this clause, the parties shall, continue to perform this Memorandum of Understanding in compliance with its terms before such change.                      

5.            Termination

(a)    The Secretary of State shall be entitled to suspend or withdraw the right of any or all of the Local Enterprise Partnership and / or the Relevant Local Authorities to market an Enterprise Zone if, acting reasonably, the Secretary of State is of the view that a party has acted in a way which significantly damages the reputation of the Enterprise Zone Programme or if there has been a material breach of this Memorandum of Understanding.

(b)   The Relevant Local Authorities and Local Enterprise Partnership with the Memorandum of Understanding involved in delivering the Enterprise Zone is entitled to ask for the Enterprise Zone status to be rescinded by submitting notice in writing.

6.            GOOD FAITH AND COOPERATION

Each party covenants with the others that they shall act with the utmost good faith towards the other, shall comply with reasonable requests for information in relation to the Enterprise Zone submitted from time to time and will not do anything which would deliberately put the other in breach of its obligations under this Memorandum of Understanding.

7.            miscellaneous

Nothing in this Memorandum of Understanding shall constitute a partnership or joint venture between any of the parties.


 

Acceptance

This Memorandum of Understanding has been entered into on the date stated at the beginning of it.

 

 

Signed for and behalf of

SECRETARY OF STATE FOR                                                )

COMMUNITIES                                                                      )

AND LOCAL GOVERNMENT                                              )

 

Authorised Signatory:    ________________________

Print Name:                        ________________________

 

1.       Local Enterprise Partnership Accountable body signs here

Signed for and in agreement with

LOCAL ENTERPRISE PARTNERSHIP BY THE ACCOUNTABLE BODY

[Essex County Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

(Add more as required)

Signed for and in agreement with[lr3] 

Name of Local Authority

[Dartford Borough Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

 

Signed for and in agreement with

Name of Local Authority

[Gravesham Borough Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

Signed for and in agreement with

Name of Local Authority

[Maidstone Borough Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

Signed for and in agreement with

Name of Local Authority

[Medway Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

Signed for and in agreement with

Name of Local Authority

[Tonbridge & Malling Borough Council]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

Signed for and in agreement with

Name of Local Authority

[Ebbsfleet Development Corporation]

Authorised Signatory:                                                   

Print Name:                                                                                       

……..

 

 

 

The following parties are aware of the requirements of this Memorandum of Understanding (including the Application) and shall support and assist development and delivery of the Enterprise Zone throughout the Term, but due to not having the required legal personality

 

[SOUTH EAST LOCAL ENTERPRISE PARTNERSHIP]

Authorised Signatory:   ADAM BRYAN                                  

Print Name:                                                                                      

 

                                               

[LOCAL ENTERPRISE PARTNERSHIP]

Authorised Signatory:                                                  

Print Name:                      

 

 


 

schedule 1 -  Relevant Local Authorities[lr4] 

Dartford Borough Council

Civic Centre, Home Gardens, Dartford, Kent, DA1 1DR

Gravesham Borough Council

Civic Centre, Windmill Street, Gravesend, Kent, DA12 1AU

Maidstone Borough Council

Maidstone House,  King Street,  Maidstone,  Kent,  ME15 6JQ

Medway Council

Gun Wharf, Dock Road, Chatham, Kent, ME4 4TR

Tonbridge & Malling Borough Council

Kings Hill (Head Office), Gibson Building, Gibson Drive, Kings Hill, West Malling, Kent, ME19 4LZ

 

Schedule 2 – Local enterprise PARTNERSHIP

South East Local Enterprise Partnership

South East LEP Secretariat, c/o Essex County Council, County Hall, Market Road, Chelmsford, CM1 1QH

 

 

 

 


 

Schedule 3 key information on North Kent enterprise zone[1]

 

General

Name of Enterprise Zone

North Kent Enterprise Zone

Name of Local Enterprise Partnership

South East Local Enterprise Partnership (SELEP)

Relevant local authorities

Dartford Borough Council

Gravesham Borough Council

Maidstone Borough Council

Medway Council

Tonbridge & Malling Borough Council

 

Fill out information from the application form Q C.8 What is the Local Enterprise Partnership’s agreed approach, with the relevant local authorities, about how the retained rates will be used to support development on the Enterprise Zone?

Briefly explain your financial or investment plan for how (for example, through borrowing or development of a recycling fund) and when the retained rates will be used.

As a multi-site Enterprise Zone involving three schemes, the investment plan for the North Kent Enterprise Zone (NKEZ) will substantially comprise a composite of each area’s investment plans for the individual schemes.  The main responsibility for progressing investment plans will therefore rest with the individual schemes and local delivery arrangements.  The NKEZ Strategic Board will aim to add value by considering any potential synergies or joint investment proposals that could assist local delivery. 

The overall investment strategy will be developed and agreed by the NKEZ Strategic Board and formally endorsed by the SELEP Accountability Board and/or SELEP Strategic Board (as appropriate). 

As a general principle, business rate income will be retained by the local authorities to support investment into the Enterprise Zone, thus providing a future income stream against which early investment can be secured, and into infrastructure and services to support enterprise and growth.

So far as possible, initial investment to deliver the individual NKEZ sites would be sought from the private sector or through joint venture arrangements with landowners/developers.  At the time of this MOU, the investment plan remains work in progress.  The following paragraphs outline the initial thinking at scheme level

Ebbsfleet.   Dartford and Gravesham borough councils will collaborate with the Ebbsfleet Development Corporation over how their investments, including borrowing against future retained business rate income and funding committed by Government to support delivery of infrastructure in the Garden City, will be used to support development of the Enterprise Zone sites.

In relation to Northfleet Embankment West and Northfleet Rise, more will be known about the arrangements for these sites in the autumn when, respectively, the s.106 agreement negotiations and the ‘Lift and Shift’ Strategy have made further progress.  The investment plans for these sites will be developed in Q4 2016 and Q1 2017. 

For Northfleet Embankment East, the EDC and Gravesham BC are collaborating on a proposal to purchase (from HCA) and develop the site through a joint venture arrangement.  The EDC Board have approved £23m investment, subject to DCLG and HMT approval of the business case;  subject to due diligence, Gravesham BC’s Cabinet will be recommending full Council approval for the Joint Venture (JV).  In broad terms, under the JV Gravesham would use investment funds and borrowing against retained NNDR income to finance their interest.  In the longer term the retained NNDR income will be used to repay borrowing and acquire the EDC interest (this would also support EDC’s exit strategy, as a time-limited body, and help fulfil its repayment obligations to HMT).  The expectation is that NNDR income would be generated from Q3 2019 (possibly earlier subject to procurement and construction timetables).

Kent Medical Campus (KMC).  This site is privately owned and investment to deliver the site is being led by the developers.  Maidstone BC are in the exploratory stages to identify where they can add most value to KMC.  In the first instance Cygnet, the private mental health hospital, will open in 2017/2018. KMC is attracting other interest but it would probably be around two years before other occupiers will be generating additional business rates income. 

The Council and KMC are keen to progress construction of an innovation hub to enable smaller innovative businesses to benefit from the EZ in the medical and health services sectors or supporting sectors. This would provide a hub of activity alongside seminar and meeting rooms and possibly linked to a higher education presence.  An outline proposition for this Innovation Hub is being worked up by JLL acting on behalf of KMC Ltd.  Further work is needed to model the likely retained business rates income (from Cygnet and other occupiers) to enable the Council to take a view on potential borrowing required to finance this development (which is likely to cost in excess of £6m).  Alternatively MBC may consider taking a lease on a design and build solution for facilities provided by KMC Ltd. 

The current expectation is that NNDR income will be generated from Q1 2018.

Improvements around Junction 7 of the M20 are needed before KMC can be developed to its maximum potential: these are the subject of a £7.5m LGF proposal included in the SELEP Growth Deal submission to Government.

Rochester Airport.  Medway Council’s direct investment intentions towards the airport development site are still being considered.  The landholding being made available is a major council investment in its own right.  Decisions about potential council borrowing against future NNDR income will clearer once the planning decision for the airport operator’s phase one works has been determined (expected early 2017) and a preferred land disposal option is selected.  Medway Council has already been successful in securing £4.4m of LGF funding towards the airport’s operational infrastructure; spend has been re-profiled in consultation with SELEP to take account of delays whilst EIA requirements are fulfilled.  The business case for £3.7m LGF funding for the northern section of the enterprise zone site itself was ranked 4th in SELEP’s Growth Deal submission to Government. 

 

Fill out information from the application form Q E 1.Please describe the governance arrangements for the proposed Enterprise Zone, clearly setting out the name and job title of the Senior Responsible Officer for delivery of the Zone, the governance structure and explain how progress will be owned by the Local Economic Partnership Board.

Name of Senior Responsible Owner: Adam Bryan

Job title: Director, South East Local Enterprise Partnership

Governance structure:

There are two tiers of governance for the NKEZ.  Each of the three schemes will have a local delivery board, outlined below.  Above this there is a strategic board covering the whole enterprise zone.  The NKEZ Strategic Board will report to and be accountable to the SELEP Accountability Board / Strategic Board, and regularly report progress to the Kent & Medway Economic Partnership Board under the federal structure of the SELEP.

The NKEZ Strategic Board comprises:

·         Chair (private sector)

·         Representatives from each of the constituent schemes (Medway Council, Maidstone Borough Council/KMC, Gravesham Borough Council, Ebbsfleet Development Corporation)

·         Representative from Thames Gateway Kent Partnership

·         Representative for the HEI Sector

·         Chief Executive, Locate in Kent

·         Representative from the Accountable Body (Maidstone BC, non-voting)

·         Managing Director, SELEP

·         Senior Officer, KCC

·         NKEZ Coordinator (non-voting)

For the individual schemes, the local governance board arrangements are as follows:

Ebbsfleet

The Board comprises: the Chief Executive or appropriate Strategic Director from Dartford Borough Council, Gravesham Borough Council and Ebbsfleet Development Corporation; Directors for landowner interests (Land Securities, Tarmac, EIGP, HCA); EDC Programme Manager; co-opted industry/HEI experts.

Kent Medical Campus

The Board comprises: the Chief Executive of Kent Medical Campus Ltd; Director of Regeneration & Place, Maidstone Borough Council; Chief Executive of Kent Institute of Medicine & Surgery; [Chief Executive of European School for Osteopathy]; representatives for the landowner (e.g. Jones Lang LaSalle and DHA Planning); Maidstone BC Project Officer; and co-opted industry/HEI experts.

Rochester Airport Technology Park

The Board comprises: Leader, Medway Council (Chair); Senior Officer (Director/Assistant Director) from Medway Council and Tonbridge & Malling Borough Council; Director-level representatives of the other site owners or their agents and from Tonbridge & Malling District Council; other landowner representatives (BAE Systems, Sheppey Industries, Rochester Airport Limited); University of Greenwich; Medway Council Project Officer; and co-opted industry experts.

The membership of local boards may be varied from time to time, responding to the relevant expertise that needs to be assembled to drive delivery, for example where development partners are involved.

How will the LEP Board own and drive progress:

The SELEP board will own and drive progress through regular reporting to the Strategic Board (as is currently the case with the existing Zones) and the Accountability Board.  Ownership will be provided through the Responsible Officer who, as Director of SELEP, sits on the NKEZ Strategic Board.

 

Fill out information from the Application form from Q E.2  capacity and skills you will make available to deliver the Enterprise Zone on a day-to-day basis, including the job titles and names of each of the staff members in the Local Enterprise Partnership and the relevant local authorities and the total costs of this staff team.

The precise arrangements for staff and other resources to deliver the NKIZ are being developed in consultation with the key stakeholders for each site.   The level of resource will be determined in response to more detailed implementation planning carried out in Q4 2016 and Q1 2017.

Coordination of the NKEZ is led by the Head of Policy at Thames Gateway Kent Partnership.  A project group involving Local Authority and Development Corporation officers, Locate in Kent and Kent County Council is working with the Coordinator on implementation planning. 

It is not feasible to list and name all the Local Authority personnel involved with the enterprise zone, e.g. providing professional or technical advice as part of their core function, such as on asset management or procurement.  The table below indicates the key individuals with delivery responsibilities and summarises other roles and estimates the aggregate time commitment:

Role

Name, Title, Organisation

FTE

Overall Coordination

 

 

SELEP

tbc

Tbc

NKEZ Coordinator:

Richard Longman, Head of Policy, Thames Gateway Kent Partnership

0.40

Accountable Body

Maidstone Borough Council

tbc

Marketing

 

 

 

Tbc, Locate in Kent

Tbc

 

Cathy Collins, Marketing Communications Manager, Medway Council

Tbc

 

Mark Templeton, Head of Communications, Ebbsfleet Development Corporation

Tbc

Ebbsfleet

 

 

Project Manager

Jennifer Hunt, Project Manager, Enterprise & Environment, Ebbsfleet DC

0.30

 

Chris Inwood, Principal Economic Development Officer, Gravesham BC

0.15

Gravesham BC internal working group on Northfleet Embankment East

Director (Corporate Services), Legal, Property Services, Planning Policy and Economic Development representatives

0.25

Rochester Airport

 

 

Project Manager

Richard Kidd, Economic Development Officer, Medway Council

0.15

Medway Council Internal Working Group

Assistant Director of Legal and Corporate Services, senior representatives from Finance, Valuation and Asset Management, Greenspaces, Planning Services, Regeneration, Economic Development and Communications

0.30

Tonbridge & Malling Borough Council

Economic Development and Planning officers

0.05

Kent Medical Campus

 

 

Project Manager

Dawn Hudd, Head of Commercial and Economic Development, Maidstone BC

0.10

Internal Working Group, Maidstone Council

Economic development, regeneration and planning officers

0.10

Total FTE

 

1.8+ FTE

 

The development of the proposed joint venture between Ebbsfleet DC and GBC will involve Legal, Finance and Property officers on both sides as well as more intensive contract management functions.  Similar considerations could apply for Medway Council depending on the preferred asset management / development option ultimately chosen for Rochester Airport.

Medway Council and Tonbridge & Malling BC are considering the planning options for Rochester Airport including Local Development Orders (LDO).  If the LDO route is chosen, this will have cost implications for both councils and is estimated would require two full-time planning officers for 12 months (either in-house or contracted).

The time commitment of Economic Development Officers is likely to increase in the future as the marketing, enquiries and business support activities start in earnest.  Planning functions will need to be geared up to ensure streamlined planning services.

More detailed discussions will be required on the optimal arrangements for both scheme-specific and overall marketing of the NKIZ, and the additional capacity and expertise that may be required.  In the first instance, marketing strategy would be developed collaboratively by the scheme sponsors.

Substantial private sector resources are involved in EZ delivery, notably at Kent Medical Campus, led by the Landowner’s Agent                Jones Lang Lasalle (contact: Gary Watson) and Developer’s Agent DHA Planning (contact: Alex Hitchen).

Revised and more detailed estimates of committed resources will be included in the final Implementation Plan by 31 March 2017.

 

Q E3 How will you gather data that will allow the Local Enterprise Partnership and local authorities to monitor progress of the Enterprise Zone, for example this could include on delivering new jobs, business, and investment?

Reporting and monitoring arrangements will be agreed between the NKEZ Strategic Board and the SELEP's Accountability Board, in collaboration with the Accountable Body.

Progress on delivery of the Enterprise Zone sites, occupation by businesses (entrances and exits) and non-commercially sensitive information on transactions (e.g. leases) will be reported to the local delivery boards and collated for reporting to the Strategic Board and to KMEP/SELEP.

More specific data will be collected and analysed using the Evolutive reporting mechanisms, which has been adopted across SELEP as the platform for Growth Hub services and data tracking, including the Kent & Medway Growth Hub. These data would include:

·         GVA per capita within businesses locating to EZ sites

·         Jobs created and safeguarded

·         Delivery of Intensive business assistance

We will also be looking at what additional relevant data might be collected and/or shared, e.g. through other business support mechanisms (in-house or contracted out), business rate data from VOA and local authority business rates (NNDR) departments, and from external sources including Locate in Kent.

With reference to Schedule 5 (Management Information), we anticipate data will be provided as annotated in that Schedule.

 


 

Q  E5 Briefly set out your plan for marketing the sites to occupiers and/or investors, in the case of multiple site zones being clear if they will be marketed in clusters or in stages.

There will be coordination of marketing and PR across the NKEZ as a whole, but the principal marketing and associated market research effort will be concentrated at individual scheme level, with bespoke marketing of the individual sites to target sectors.  Marketing actors are expected to include landowners and their agents, the local authorities and Locate in Kent (particularly with regard to inward investment).  The appointed marketing lead(s) will liaise with Locate in Kent and Department for International Trade on foreign direct investment and export promotion.

For the individual sites, the lead bodies are:

Ebbsfleet: [Ebbsfleet Development Corporation, with research input from Cushman & Wakefield and ??? Tbc]

Kent Medical Campus: Jones Lang Lasalle and DHA Planning, with research input from Springboard Marketing

Rochester Airport: Medway Council and ???? with research input from ????.

Marketing will also involve conventional channels including:

·         Dedicated NKEZ website (developed initially by Locate in Kent) coordinating with other landing points (e.g. the Kent & Medway Growth Hub, Ebbsfleet Development Corporation, local authority business support services and LiK’s own website)

·         Estates Gazette’s EG Property Link online database

·         Nationwide commercial property agents (e.g. JLL, Savills, DTZ), as well as local agents (e.g. Harrisons Surveyors, Watson Day)

·         Targeted print media (e.g. Medway One, Ebbsfleet Magazine)

·         Bespoke and third-party events (e.g. Kent 2020).

 

 

 


 

SCHEDULE 4 – SITES AND INCENTIVES

 

 

Proposed EZ Sites

 

District / Local authority Ward

ECA

BRD

BRR

Northfleet Embankment (Riverside) East

Gravesham BC / Northfleet North Ward

X

ü

ü

Northfleet Embankment (Riverside) West

Gravesham BC / Northfleet North Ward

X

ü

ü

Ebbsfleet Valley Northfleet Rise

Gravesham BC / Northfleet South

Dartford BC / Swanscombe Ward

X

ü

ü

Rochester Airport Technology Park

Medway Council / Rochester South and Horsted

Tonbridge & Malling Borough Council / Burham & Wouldham Ward

X

ü

ü

Kent Medical Campus

Maidstone Borough Council / Boxley Ward

X

ü

ü

 

 


 

SCHEDULE 5 – MANAGEMENT INFORMATION

 

2017/18

2018/19

2019/20

Q1*   What was the value of the retained rates that were reinvested in the Enterprise  Zone in the last financial year?

 

 

 

Q2*   What was the value of the retained rates that were reinvested in the LEP area in which the Enterprise Zone is situated, including the amount in Q1, in the last financial year?

 

 

 

Q3*   What was the value of the borrowing against retained rates undertaken by the LEP accountable body or the EZ local authority in the last financial year?

 

 

 

Q4   What was the change in the number of newly created jobs, excluding construction jobs, on the Enterprise Zone in this quarter?     

 

 

 

Q5   What was the change in the number of newly created construction jobs on the Enterprise Zone in this quarter?               

 

 

 

Q6   What was the change in the number of jobs that were safeguarded on the Enterprise Zone in this quarter?      

 

 

 

Q7   Was a Local Development Order introduced on the zone or a part of the zone this quarter?

 

 

 

Q8   What was the change in the number of businesses that started trading on the zone this quarter?

 

 

 

Q9   What was the value of any new public sector capital investment on the zone this quarter? Do not include borrowing against retained rates.

 

 

 

Q10  What was the value of any new public sector revenue investment  on the zone this quarter?

 

 

 

Q11 What was the value of any new private sector investment on the zone this quarter (excluding non-monetary investment)?

 

 

 

Q12 What was the value of any new private sector non-monetary investment on the zone this quarter, e.g. use of facilities, staff?               

 

 

 

Q13 What area of land was reclaimed and made ready for development on the zone this quarter?

 

 

 

Q14 What commercial floorspace was constructed on the zone in this quarter?

 

 

 

Q15  What commercial floorspace was refurbished on the zone this quarter?

 

 

 

Q16* “What was the market rate for leasing commercial floorspace on the Enterprise Zone as of the current date?”

 

 

 

Q17  What land sales were there on the zone this quarter?

 

 

 

 



[1] NB In the bid document the given name was North Kent Innovation Zone.  The Strategic Board resolved on 9th September 2016 that this should be renamed North Kent Enterprise Zone.


 [lr1]This reflects the wording of the bid document as amended by the Strategic Board on 9/9/16.

 [lr2]For CLOG to advise? Cath or Nigel?

 [lr3]Authorised Signatory for local authorities to choose: either Leader or Chief Executive

 [lr4]Does KCC need to be included in this list?   Presumption is not.