Agenda item

North East Combined Authority: Devolution Deal Update and Poll Result - Report of Leader of the Council

Minutes:

The Council noted a report of the Leader of the Council which provided an update on the proposed devolution agreement, including the results of the County Durham poll, in order to facilitate a debate to influence the required Cabinet decision on whether the Council should agree any final devolution agreement (for copy see file of Minutes).

 

Councillor Henig informed Council that the results of the County Durham poll, which was the largest consultation on devolution carried out in England, were shown at Appendix 4 of the report as follows:

·       There had been over 80,000 responses received

·       59.5% of respondents considered devolution to be a step in the right direction

·       14.9% of respondents considered devolution to be the wrong thing to do

·       Approximately 1/4 of respondents thought that devolution would make little or no difference or did not know.

 

With regard to the powers of an elected Mayor, Councillor Henig reported the following results:

·       47.8% of respondents considered that the Mayor should have limited power and influence

·       40.3% of respondents considered that the Mayor should have quite a lot of power and influence

·       11.9% of respondents did not know.

 

The majority of respondents were not sure whether the north should try to get additional powers and resources devolved under the Devolution Deal and 40.5% of respondents considered that the Devolution Deal would help bring jobs and prosperity to County Durham.

 

The legislation required to enable combined authorities to assume devolved powers was contained in the Cities and Local Government Devolution Act, which had received Royal Assent on 28 January 2016 and would be in force before the end of March.  Details regarding the Mayor, Scrutiny and budget setting were contained in paragraphs 31 to 34, 21 to 22, 50 and Appendix 1 to the report, although further discussions would take place with the DCLG and Treasury.

 

The decision on whether the Council should agree any final devolution agreement would be taken by Cabinet in March and then by the North East Leadership Board.  Any views of Council would be taken into account by Cabinet when making its decision.

 

Councillor R Bell informed Council that the report vindicated the decision to carry out the Durham poll, which had produced a majority in favour of devolution.  While the Leader’s position appeared to be ‘steady ahead’ Councillor Bell asked at what point the funding arrangement would be agreed to the satisfaction of all parties and also asked whether there was an exit mechanism.

 

Councillor Hopgood, while appreciating this was a decision to be made by Cabinet, Moved that Council take an advisory vote so that Cabinet would know the feelings of Members.  Seconded by Councillor Martin.

 

Councillor Henig replied that Council was the opportunity for Members to give their views and that Members could also give their views to him outside of the meeting.  The process of negotiation regarding finance was ongoing and further information was awaited and therefore it would not be helpful to have an advisory vote when there were matters which had not yet been agreed.

 

Councillor Martin informed Council that while Council had been advised it had no legal right to make the decision regarding being part of devolution, the Council would be held to account for any decision made.  The Cabinet decision must be made on behalf of all Members.  Councillor Henig had informed Council that there was insufficient information to currently make a decision because negotiations with the DCLG and Treasury were ongoing and Councillor Martin questioned how Cabinet would be able to make a decision in March if that information was still unknown.  Council needed to be provided with as much information as Cabinet and Councillor Martin suggested that an Extraordinary County Council meeting could be held on the day before the Cabinet meeting.

 

Councillor Henig asked the Head of Legal and Democratic Services to explain why the decision must be made by Cabinet.  The Head of Legal and Democratic Services informed Council that this was an Executive function and as such was to be made by Cabinet and this was the consensus of all 7 Constituent authorities.

 

Councillor Henig welcomed the comments of Councillor Bell.  Negotiations were continuing between officers from the 7 local authorities and Ministers and it was unknown when any further details would be forthcoming.  A Special Cabinet meeting was to be held on 23 March 2016, in line with other authorities, to decide whether the Council should agree any final devolution agreement.  Throughout the devolution issue Councillor Henig informed the Council he had tried to be as open as possible and was happy to continue with this approach.  All opposition Group Leaders would have an opportunity to present their views to the Special Cabinet meeting and Councillor Henig added that he would be happy to talk to Group Leaders and Members before the Special Cabinet agenda and papers were despatched.  Councillor Henig informed Council that he did not consider it necessary to call an Extraordinary meeting of the County Council for a one item agenda and considered that his offer to speak to Group Leaders and Members more appropriate.

 

Councillor Hopgood replied that in light of Councillor Henig’s statement, she would withdraw her request for an advisory vote.

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