Decision details

Having complied with paragraph 15 of the Council’s Access to Information Procedure Rules.

(i)  To reimburse operators at a rate of 47.6p in the £, plus 7.5p per generated journey, in accordance with the guidance given by the Department for Transport (DfT);

(ii)  To revise the ticket types used in the calculation of the average fare to include day tickets and carnet (multi-trip tickets) in addition to single and returns, as per the guidance issued by the DfT;

(iii)  To delegate authority to the Head of Planning and Sustainability, in consultation with the Chief Financial Officer, to reimburse smaller operators at a fixed rate by agreement between the parties;

(iv)  To delegate authority to the Head of Planning and Sustainability in consultation with the Solicitor to the Council and the Chief Financial Officer, following consultation with the Cabinet Members for Environment and Transport and Resources and Workforce Planning to make any necessary variations or changes to the 2011/12 scheme arising from any outstanding appeals to take any action necessary to give effect to the recommendations including but not limited to the service of statutory Notices (including Variation and Participation Notices) and participation in and determination of any appeal against the proposed Concessionary Fares Scheme or reimbursement arrangements for 2011/12; and

(v)  To delegate authority to Head of Planning and Sustainability, in consultation with the Solicitor to the Council and the Chief Financial Officer, following consultation with the Cabinet Members for Environment and Transport and Resources and Workforce Planning, to determine and approve payment of any substantiated operator claims for additional capacity and capital costs, in accordance with Financial Procedure Rules.

1. This report is submitted for consideration as a General Exception under paragraph 15 of the Access to Information Procedure Rules in Part 4 of the City Council’s Constitution, notice having been given to the Chair of the relevant Scrutiny Panel and the Public. 
2. The matter requires a decision that will enable the Council to comply with the statutory requirement to serve bus operators with minimum 28 days notice of the reimbursement arrangements to be used during 2011/12. Delays with the issue of guidance for the DfT had prevent this from being entered on the forward plan.

It is a statutory requirement that the Council has to publish details of its proposed reimbursement calculation in advance of the scheme introduction, so the only options that could be considered are to vary the level of generation factor employed, or the level of additional costs allowed, or the proportion of non-single journeys included in the calculations.  The first two of these factors have been assessed in the light of the adjudication in February 2010 received from the Secretary of State and the contents of the Guidance for ‘reimbursement calculation’ issued by the Department for Transport (DfT) in December 2010 for use in 2011/12. In addition, the Council could provide a different rate of reimbursement to different operators, discussed further at paragraph 5 below.