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Jersey Heritage Trust: service level agreement and funding requirements (P.75/2010) – amendment.

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STATES OF JERSEY

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JERSEY HERITAGE TRUST: SERVICE LEVEL AGREEMENT AND FUNDING REQUIREMENTS (P.75/2010) – AMENDMENT

Lodged au Greffe on 6th July 2010

by the Minister for Education, Sport and Culture

STATES GREFFE

2010   Price code: A  P.75 Amd.

JERSEY HERITAGE TRUST: SERVICE LEVEL AGREEMENT AND FUNDING REQUIREMENTS (P.75/2010) – AMENDMENT

1  PAGE 2, PARAGRAPH (a) –

For the words "sign a Service Level" substitute the words "enter into an", and after  the  words  "Jersey  Heritage  Trust"  for  the  words  "set  out  in  draft  in Annex A" substitute the words "as outlined in Appendix A on page 14".

2  PAGE 2, PARAGRAPH (b) –

For the words "expenditure requirements" substitute the words, "expenditure requirement for an additional £465,000 as recommended in the Locum report".

MINISTER FOR EDUCATION, SPORT AND CULTURE

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P.75/2010 Amd.

REPORT

The aim of this amendment is to allow sufficient time for the Department to consider the findings and recommendations of the review undertaken by PAC on JHT when published, and undertake further work with our partners to develop the Service Level Agreement (SLA) to ensure that the Trust is provided with suitable incentives to maximise its income both now and in the future.

It is also designed to provide States members with the opportunity to approve the level of activity Jersey Heritage Trust (JHT) should provide as described in Appendix A.

To deliver this level of activity the Jersey Heritage Trust will require total funding of circa £4.415 million. The current level of grant provided through the Department for Education, Sport and Culture is £2.1 million. Taking into account the Trust's income prediction for 2011, there is a funding shortfall of £665,000. This is made up as a requirement  for  additional  revenue  of  £200,000  and  an  annual  sinking  fund  of £465,000  to  allow  the  Trust  to  refresh  its  sites  and  attractions,  in  line  with  the recommendations in the Locum Report, so as to continue generating income.

The draft Annual Business Plan, as proposed by the Chief Minister, currently allocates £350,000 of additional growth for these purposes. Of this, £200,000 will be used to supplement the annual revenue grant; and £150,000 will go towards the annual sinking fund, to be released for specific projects agreed with the Minister for Education, Sport and Culture in the Trust's annual business plan, subject to the Trust being able to demonstrate the effectiveness of its own fund-raising activities.

Since lodging the original proposition, my Department has been working with the Economic  Development  and  Treasury  and  Resources  Departments,  who  are committed to help in the development of a robust Service Level Agreement and to identify the most appropriate funding mechanism to meet the Trust's expenditure requirements. Depending on the outcome of this debate, the SLA will be agreed with the Trust as soon as possible.

Financial and manpower implications

This amendment does not alter in any way the financial and manpower requirements that are set out in detail in Annex B of P.75/2010.

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P.75/2010 Amd.