Select Committee on Culture, Media and Sport Minutes of Evidence


Annex A

APPLICATION TO SECRETARY OF STATE AND JOINT SCHEME ORDER

PROPOSED JOINT SCHEME FOR AWARDS FOR ALL (ENGLAND)

  We are writing to seek your approval of a Joint Scheme for the Awards for All (England) joint distributor lottery grants programme in keeping with the decisions of our respective governing bodies.

  This application is made in accordance with the provision for such a scheme as set out in Section 25B of the National Lottery etc Act 1993 (as amended by the National Lottery Act 1998). The Joint Scheme would require to be authorised by you by way of an order (pursuant to the terms of Schedule 3A to the 1993 Act).

  This application is made following discussions between our officers and your Departmental officials and after seeking advice from our lawyers. We are convinced that the creation of a Joint Scheme would provide the most efficient and effective means of participating in the programme.

  You will be aware that an Awards for All programme has to date operated under the provisions of a Memorandum of Agreement between lottery distribution bodies. Although many applications under this programme involve activities fundable by more than one distributor, our current arrangements require the allocation of an application to the funding stream of one of the participating distributors and assessment according to the particular powers at law of that distributor. This results in an unnecessarily complex and cumbersome decision-making process and a lack of transparency from the applicant's perspective.

  Details of the proposal are contained in the Agreement enclosed with this letter. We believe that this Agreement contains all of the information required under the terms of the Act.

  We wish to draw to your attention a number of specific points in relation to this scheme:

    1.  The participating distributors intend to agree and enter into a more detailed Memorandum of Agreement which will govern the way in which the joint scheme will operate in practice. This Memorandum of Agreement will be signed by Chief Executives and will include: Purpose of Agreement; Background; Funding—grant making and administrative budgets; Administration arrangements; Governance arrangements, including terms of reference for Programme Board and Joint Regional Committees; Accountability arrangements; Systems Assurance; Resolution of disputes; Service Level Agreement(s).

    2.  The maximum amount of £75 million specified in the paragraph 10 of the agreement is intended to provide headroom for future increases.

    3.  The proportions specified in paragraph 11 of the agreement, in which the money to be distributed under the scheme is attributable to each of the bodies, has been calculated on the basis of the base-line indicative 2002-04 budget contributions below:


Grant Making
Budgets
(£ million)
10% Admin.
Budgets
(£ million)
Total Cost
(£ million)
Proportions of
Total Costs
(%)

Heritage Lottery Fund
8.00
0.80
8.80
10.0
Community Fund
23.50
2.35
25.85
29.3
New Opportunities Fund
19.06
1.90
20.96
23.8
Sport England
19.54
1.96
21.50
24.4
Arts Council of England
10.00
1.00
11.00
12.5

Total
80.10
8.01
88.11
100.0


  We know that you share our enthusiasm for the spirit of partnership between our respective organisations, which has produced such a successful Awards for All programme to date. We believe that a Joint Scheme, enabling decisions to be made against a single budget and against jointly agreed funding criteria will allow the five participating lottery distribution bodies to distribute funds to applicants more effectively, less bureaucratically and more transparently and will enable the funding of some particular projects which working alone we might not have the power to fund.

  We are pleased to be able to make this application which is evidence of the value of the new provision included in the 1998 Act. We trust you will also welcome this initiative.

6 March 2003



 
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