Assistant Director, Regeneration

Report Contact: Richard Willoughby

Phone: 01274 753783

Fax: 01274 752516

E-mail: richard.willoughby@bradford.gov.uk

SCRUTINY AREA: ECONOMIC PORTFOLIO: REGENERATION

Report to Executive Committee 19 January 2000

1.1 This report considers a conceptual management model to drive the regeneration of Bradford City Centre. This is based on a proposal for Town Improvement Zones set out by the Association of Town Centre Management, to be promoted through DETR and the Regional Development Agencies.

1.2 The new delivery model is aimed at making a step change in the quality of the city centre, increasing investment and creating jobs.

2.1 The city centre has improved markedly since the mid 1980s. Significant development and investment has taken place. However, there is still concern expressed through the City Centre Steering Group and 2020 Vision consultation that the key problems of cleanliness, maintenance and crime are not being adequately addressed.

2.2 Increasingly, successful and competitive city centres are those that differentiate themselves. Bradford has nationally competitive attractions such as the National Museum of Film Photography and Television and the Alhambra Theatre in the city centre, which help its differentiation. However, its retail offer remains poor when compared with the retail offer in other major cities. It has no mainstream department store operation, a weak comparison clothing sector and is under represented in restaurant and concept cafe bar brands.

2.3 Business tells a similar story, with low levels of confidence in the investment community. Without doubt, the city centre does not punch its weight.

2.4 A partnership based on a loose association of interested parties was established in the city in 1993 when the City Centre Manager was appointed, and is known as City Centre Steering Group. This Group has been responsible for improving some aspects of management in the centre and has acted as a principal consultee to the Council on policy issues and development proposals, in addition to successfully promoting and marketing city centre events and activities. Its constitution does not, however, provide opportunities for direct delivery of contract based services, for managing city centre services such as car parking or for raising and spending membership and other revenue streams.

2.5 The importance of the city centre to District wide confidence and regeneration, expressed through consultation programmes including 2020 Vision, cannot be overestimated, and with an accompanying shift in government policy towards urban regeneration and delivery through strong public-private partnerships there is a need to re-examine the potential role that a redefined city centre partnership could play.

3.1 The potential partnership structures is outlined below -

• Management Company limited by guarantee without Accountable Body status

• The regeneration body is a separate legal entity but is not ultimately responsible to government for the use of public funds. This responsibility would normally be adopted by one of the members of the company, usually the local authority.

• Perceived to be independent.

• Directors have limited legal liabilities.

• Depending on degree of control of company, body may have more freedoms than local authority.

• Staff contracts have to be with the Accountable Body

• VAT liabilities and other costs require clarification

3.2 The need for an accountable body function will be driven by funding arrangements, with such function required if funds are to be provided by grant, for example to receive funds from DETR for the establishment of a Town Improvement Zone. Initially, the proposal is based on redirection of existing Council budgets through the City Centre Management Company Board, with appropriate safeguards that protect the Council's financial interests and probity.

3.3 The establishment of City Centre company as a company limited by guarantee is a accompanied by requirements related to composition of the Board, that limit the number of local authority councillors or employees to less than 20% of the total Board composition.

3.4 The potential role of the company is illustrated below -

• To create a prosperous and sustainable city centre through integrated strategies and improved management.

• Directly delivered

• City centre management

• Events

• Marketing and promotion (account managed by Marketing)

• Cleansing and landscape contract

• Indirect through an agreed strategy (see Next Steps) promoting integrated management

• Job creation and urban regeneration

• Planning and design

• Estate management

• Transportation and Communications

• Maintenance and improvements

• Public safety

• Vision into Action plus a clear and agreed funding strategy and performance indicators linked to Best Value and DETR performance indicators

• Executive Committee members

• CX or Director, Bradford Council

• Major retailer representative

• Small business representative

• Institutional owners

• Financial sector representative

• Chamber of Commerce

• Telegraph and Argus

• University/College

• Cathedral

• FirstBus

• City Centre CEO

• Bradford Congress, External Scrutiny Committee and a City Centre Forum incorporating the existing City Centre Steering Group

• City Centre CEO

• Operations Manager

• City Centre Liaison Officer

• Finance and Administration Officer

• City Centre Rangers

Programme/potential funding sources

• Existing city centre budget

• European programme

• Hypothecated charges (parking etc)

• Membership income

• Sponsorship

• Contract arrangements (maintenance/cleansing)

• Yorkshire Forward/DETR TIZ Programme

• To ensure that the indirect functions are delivered effectively in response to Board decisions, a City Centre Working Group convened at senior level, and including the CEO to the Management Company, would both support the Board and report to Executive Committee.

3.5 Full discussion and negotiation with staff unions will be necessary, with the intention that any existing Council staff affected by the company proposal would be transferred to the Company, with TUPE conditions applicable, or be redeployed within the Council, as appropriate.

3.6 Whilst developments such as Vicar Lane and Broadway will provide opportunities to strengthen corporate involvement in city centre regeneration these are in the medium term.

In the immediate future the fundamental need is to address the priorities likely to emerge from 2020 Vision - litter, cleanliness, an improved centre and enhanced perceptions of the District, driven in large part by building positive brand values in the city centre.

3.7 The Council's approved policy document for the city centre - Vision into Action provides a current business planning and management base for the city centre, but does not seek to procure and guide investment or to provide the planning and urban design guidance necessary to deliver a truly regenerated city centre.

3.8 Proposals to deliver this outcome must be guided by a clear and unambiguous strategy. In this case, no such strategy exists, and in parallel with the consideration of a more effective City Centre Management Company there is an urgent need for a City Centre Regeneration Strategy which must have marketing, economic/commercial and planning/urban design dimensions.

The proposals seek to create a new management company focussed on creating a city centre where opportunities and employment are accessible to all Bradford communities.

The proposals outlined in this report require detailed work to quantify the resource implications, especially in terms of revenue budget commitment to deliver contract services and potential staff transfers, which will be dependent on the precise nature and role of an eventual company model.

Preparation of this information in the form of a further detailed report can be accommodated within existing revenue resources.

The fundamental objective of a management company for the city centre would be to maximise the value and effectiveness of revenue expenditure on maintenance and management. This would be benchmarked and measured against national performance indicators, with the aim of sustaining improvements in city centre quality and experience.

7.1 That creation of a City Centre Management Company be approved in principle, subject to:

1. The Assistant Director, Regeneration drawing up proposals for a City Centre Management Company in detail, including a full statement of resource implications, following consultation with City Centre Steering Group, Council Divisions, relevant Staff Unions and other interested parties, and reporting back to Executive within 2 months.
2. The Head of Service of Transportation and Planning, and the Assistant Director, Regeneration, completing the development of a City Centre Regeneration Strategy, and reporting back to Executive within 2 months.