Rural Economic Development Zones (REDZ) Pilot Initiative Outline Budget 1. €2 million euro Overview/Context The Commission for the Economic Development of Rural Areas (CEDRA) identified the need to take a more tailored approach to planning at both a regional and local level and recognised that this approach should not be restricted by current administrative boundaries. The Commission believes this will require not only new systematic approaches but also a new cultural approach to planning that is focussed on participation and flexibility while centred on evidence of where the potential for economic development is situated. Work has begun in the context of local government reform to implement a more integrated, “joined up” approach to planning at a local level particularly with the introduction of the Local Economic and Community Planning processes at county level. However the Commission found it was not enough to simply enhance co-ordination from national, through regional to local authority levels. They identified the need for economic development strategies to be tailored to the needs and current or potential capacities of communities on the basis that it is at this geographic scale that all economic development strategies are implemented. 2. Rural Economic Development Zones (REDZ) The evidence presented in the CEDRA report demonstrates that in general, there is a clear beneficial relationship between towns and the surrounding rural areas, i.e. the rural hinterland, and similarly between towns and larger towns and cities in close proximity. These hinterlands are local, i.e. with few exceptions they are smaller than counties, and they reflect Ireland’s actual economic geography in that they are the spaces from which most employers in an area source labour. As such these functional areas represent an appropriate scale of intervention when attempting to foster rural economic development. They encompass most of the resources 1|Page available to enterprises and communities that an area has available to support economic development; most people live and work within these areas and employers source most of their employees from these zones. REDZ are functional rather than administrative geographic areas that reflect the spatial patterns of local economic activities and development processes, i.e. they are the sub-county zones within which most people live and work. Research surrounding this element of the CEDRA report identified potential Economic Development Zones in all areas of Ireland and recommended the implementation of a pilot initiative that supports the formulation of a localised strategic approach to the development of REDZ. The recommendation envisages full engagement with and participation by communities at a local level in order to foster a sense of ownership of the REDZ development process. Aim of the Pilot REDZs Initiative The aim of this pilot initiative is to support 18 REDZ projects throughout Ireland with a view to determining best practice with regard to how such projects should be initiated, designed, implemented and evaluated. It is envisaged that using the potential funding available through the REDZ initiative, individual Local Authorities and those cooperating with each other across administrative boundaries will be able to assign other funding from their own resources or work with private stakeholders on the ground to provide the matched funding required to implement the project. This pilot initiative will not provide 100% financial support for proposed projects and in this context the criteria for the scheme will require applicants to outline how they propose to access matched funding in order to implement the pilot in specific REDZ areas. This will not only foster a local sense of ownership of the project but also ensure that local authorities and other interested stakeholders work together to develop and implement their project proposals. With an allocation of €2 million euro it will be possible to fund a number of pilots on a regional basis and at different geographic scales. The scheme will be open to all local authorities in cooperation with the relevant community or communities with a REDZ. 3. Funding Allocations - 3 flagships - 1 in each region to a max grant of €250k each. - 5 for medium REDZs – 1 in each region and the final 2 based on quality to a max grant of €150k each. 2|Page - 10 for small REDZ - 2 in each region and the final 4 based on quality to a max grant of €50k each. In the context of what is outlined above up to 18 projects could be supported depending on the quality of the submissions. Flagships REDZ: REDZ for which a town with a population of 10,000+ is the main economic driver for the area. Medium REDZ: REDZ for which a town with a population of between 5,000 and 10,000 is the main economic driver for the area. Small REDZ: REDZ for which a town with a population of less than 5,000 is the main economic driver for the area. 4. Overall Measure Objective To support projects that foster the concept of Rural Economic Development Zones (REDZ) and determine what kind of interventions could be rolled out in a broader context to support the economic development of towns, villages and their rural hinterlands. 5. Responsible Department The Department of the Environment, Community and Local Government 6. Priority Activities • Projects that can enhance employment or be shown to enhance employment potential on scale up from pilot initiative. • Projects that can display realistic and achievable targets and proposed outputs and outcomes. Projects that show a coordinated effort from all members of the community in line with the aims of Putting People First. 3|Page • Projects that display learning opportunities to facilitate scale up and increased activity within the context of the REDZ area identified. • Projects that are integrative in their approach to identifying potential synergies between different economic opportunities and meeting the social and economic needs of the community. 7. Indicative Eligible Actions or Activities This initiative will support the development or implementation of local economic strategies for REDZ areas with specific projects or initiatives that can be put in place in the short to medium term. These strategies should consider how local resources, broadly defined, can be used to support local economic development and meet community needs. Resources may include natural, human or built capital e.g. derelict buildings or industrial facilities could be considered a resource. It should be noted that any activity funded through this initiative will have to be compatible with national rules in areas such as public procurement. 8. Impact Measures Outputs: - Number of Enterprises supported - Number of training/capacity building days supported - Number of people trained - Number of town/village physical improvements supported Outcomes: - Number of new jobs created as a result of funding - Number of existing jobs secured/sustained as a result of funding - Number of services which have improved/enhanced services to the community or target group as a result of funding. - Increased levels of cooperation as a result of supported initiative. - The ways in which services have been improved/enhanced as a result of funding 4|Page 9. Duration of the Grants awarded Any award of a grant is subject to entering into a contract with DECLG. Successful applicants will be required to enter into a contract by 30th September 2015 at the latest. Maximum Time-frame for a contract will be 12 months. All expenditure related to the grant must be spent by 31 December 2015. 5|Page 10. Overall considerations CEDRA Recommendations Applications should consider the findings of the CEDRA research in the context of supporting sustainable development in rural areas. Both the main report and the CEDRA research report can be found at www.ruralireland.ie Need Applicants must clearly identify and evidence the need for the project or proposal Additionality Grants awarded will be for the purposes that are additional to and not a substitute for mainstream government spending. Priority will be given to projects which demonstrate that project would not be undertaken but for the funding. Government Policy The project or proposal must take account of government policies and priorities in the area of economic development, local and community development and social and economic disadvantage. Impact Applicants must demonstrate the difference their proposal or project will make to the community in a REDZ area and the impact/potential impact on the development and quality of life in the area. Sustainability Projects must be broadly sustainable and demonstrate local support. This is particularly important in the context of REDZ as a core concept for a REDZ area is the involvement of the local community. Additional Funding Projects that will attract funding from other sources will be particularly welcome. This funding can be in the form of additional funding or benefit in kind. Benefit in kind may take the form of e.g. Voluntary Labour or facility/land leasing. 6|Page 11. Pilot Requirements All applicants must clearly demonstrate that the funding requested is adding value at a local level and is not replacing funding from other sources. All applicants must provide evidence of Match Funding or benefit in kind to be leveraged to support the implementation of the initiative. For Building Costs where planning permission is required, evidence of planning permission or planning permission applied for and ownership/agreement with the owner for the changes must be submitted with the application to be considered eligible for funding; Where a Lease agreement is in place, the lease must be for 5 years or more following project end date and must be accompanied by a letter from landlord agreeing to building works with the application All applicants must provide a written commitment that the expenditure will be undertaken and completed by the contract end date 12. Eligible Applicants Proposals will be accepted from individual Local Authorities (or multiple Local Authorities in the case of a REDZ that cross current administrative boundaries) in cooperation with relevant stakeholders in the REDZ areas. REDZ Selection Details 13. Outline Selection Criteria a) REDZ applications should identify and specify the needs and opportunities within a REDZ, identify those supports that both enterprise and labour require, and provide evidence to support their plan. b) Each proposal should also outline the additional funding to be allocated to the project from other public and/or private sources. 7|Page c) Proposals should also outline the processes in place to ensure participation at a local level. d) From the perspective of the pilot initiative proposals will be accepted in the context of the potential REDZ identified in the CEDRA report and appended to this scheme outline (Appendix 1). e) The scheme will be a leverage scheme with up to 75% of the funding required being available through the pilot initiative and the balance being made up by cash and in-kind contributions from other sources e.g. Local Authority, Chamber of Commerce, local business, fund raising etc. There will be a minimum cash requirement of 15%. f) In-kind contributions can include the donation of premises, machinery, sites, skilled and unskilled labour etc. that can be quantified in terms of monetary value. Detailed Scoring Framework The scoring framework will allow for maximum marks for each individual criterion as outlined below. In order to ensure that successful pilot schemes are of a high quality a quality threshold of 65% will be required for each criterion and the mark required to meet this is also outlined below. Selection Criteria Detailed Outline Max Score Quality Threshold Capacity of the Applicant Group Relevant experience and knowledge in relation to the actions proposed under the proposal Previous experience of managing and delivering similar proposals A robust governance structure for the management and delivery of the proposal, Adequate financial management controls and systems The degree to which the project/programme addressed the specific objectives and priorities for a specific measure and as outline in the Measure Sheet Extent of co-funding or leveraging of matching private funding with particular reference to philanthropic funding How does the proposal adopt a collaborative approach to the development and implementation of the proposal, including co-operation and partnership working with key 15 9.75 25 16.25 Compatibility with REDZ Concept the 8|Page Added Money Value/Value Demonstration and potential of for need Realistic nature of the proposal? stakeholders, thus reducing duplication Participatory Approach Proposals that display specific focus on engaging with stakeholders that have not previously engaged with development processes are particularly encouraged. what evidence is there that those most impacted or will benefit from the actions/interventions/activities outlined in the proposal, have been involved in the design and development of the proposal The degree to which the proposal is additional to an organisation’s core, work and activities, and is not being used as a substitute for mainstream government funding. This is funding for once of initiatives and distinct pieces of work. Sustainability Extent to which the project/programme has the potential to make a lasting difference. The extent to which the learning from the project has the potential to be scaled up and applied in other REDZ zones. Extent to which projects/programmes are clear and include targets, realistic costing and timescales Clear justification/rationale for costs requested The proposal clearly identifies the Numbers of people likely to benefit directly The cost effectiveness of the proposal with regard to the level, range and quality of outputs and outcomes to be delivered. Complementary of programme with Government programmes and objectives demonstrating linkages with relevant statutory providers were appropriate How does the proposal add value to current initiatives, including the potential to influence practice Is there a clear and concise statement of need for the proposal in terms of the specific needs identified and the proposed actions. Does the proposed plan of actions and activities meet the needs identified Engagement with the target group in the design of the application Is there a clear demonstration of the consideration of the potential of the area particularly as it relates the concept of a REDZ? Timescale of the project/programme; is it realistic? A clear set of actions /activities have been outlined in the proposal A clear set of defined outputs and 20 13 20 13 20 13 9|Page outcomes have been included in the proposal Scope/Reach of the proposal is clearly outlined Extent to which the delivery mechanism has been identified Incorporates evaluative processes to measure outcomes/impact of the proposal overtime Total 15. 100 65 Proposed Application Timeframe Open for applications: 29th May 2015 Closed for Applications: 31st August 2015 There is no formal application form however applications should use the outline selection criteria to frame their proposal and ensure that all of the considerations detailed in the scoring framework are addressed. Applications for the pilot scheme should be emailed to CEDRA@environ.ie by COB on Monday 31st August 2015. 16. Monitoring and Reporting Requirements Interim Report – 6 Months Annual Report – 1 year 17. Evaluation Projects or proposals funded under this measure will be expected to report against the agreed outputs and outcomes for the measure. The data collected will be collated as part of Departmental reporting processes outlined in this measure description. It is expected that the collection of the data outlined will also include any qualitative analysis that is conducted by the applicant and used as a narrative to support the outcomes required by the measure. 18. Publicity It is a requirement of funding that recipients must acknowledge the source of funding. 10 | P a g e Questions and Queries Any queries regarding any element of the REDZ pilot initiative can be addressed to CEDRA@environ.ie 11 | P a g e Appendix 1: Map of REDZ 12 | P a g e 13 | P a g e