Decisions

Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information)

Cabinet considered an exempt report seeking approval of the budget for the design phase of a proposed hostel for the homeless on the White House site.

Alternative options considered and rejected:

1.    To do nothing

2.    To work with other providers on other solutions

Resolved:

1.    to recommend to Council approval of the budget for the full design design phase of a proposed new hostel for the homeless on the White House site;

2.    to authorise the Head of Corporate Governance to enter into any legal documentation necessary to implement the redevelopment project; and

3.    to delegate the appointment of the advisors and design team to the Group Head of Regeneration and Growth in consultation with the Portfolio Holder.

Reason for Decision

Re-development of the site will provide much needed hostel accommodation for homeless residents within the Borough.  This will assist the Council in meeting its statutory obligations under the Homeless Reduction Act 2017 to meet this need.

Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information)

Cabinet considered an exempt report on the redevelopment of Harper House.

Alternative options considered and rejected

1.    To progress with a major refurbishment of Harper House

2.    To not progress with demolition and rebuild; maintaining the existing use, carrying out repair and maintenance work as required; considering the future of the building by 2020.

Resolved to:

1.    recommend to Council to approve the supplementary capital programme provision of £2.6m for the full demolition and rebuild costs for Harper House;

2.    recommend Council to authorise the Chief Financial Officer to make prudent financing arrangements for the transaction;

3.    subject to Homes England funding being secured, approve the rebuild of Harper House as outlined in the report;

4.    authorise the Head of Corporate Governance to enter into any legal documentation necessary to implement the redevelopment project, including any legal agreements required in order to receive grant funding from Homes England; and

5.    authorise the Head of Corporate Governance to transfer Harper House back to Council ownership in order to satisfy Homes England grant conditions.

Reasons for decision

To take advantage of a time-limited grant funding programme. To improve the quality of emergency accommodation within the Borough for vulnerable homeless households. To minimise risk of financial losses, legal challenge or reputational damage should the condition of the current building deteriorate.

Cabinet considered a report requesting a contribution of £500k for a match-funding bid as part of a project to deliver gigabit speeds to approximately 3,000 premises in Staines-upon-Thames.  If successful, the bid would provide access to additional contributions of £2m (£500k match funding from EM3 and £1.5m from VX Fibre).

Alternative options considered and rejected

To not do anything.

Resolved to approve the contribution of £500k, which will enable access to an additional £2m in contributions, in order to deliver gigabit speeds to Staines-upon-Thames.

Reasons for decision

The provision of gigabit speeds to Staines-upon-Thames will put the town at the forefront of internet speeds in the country.  It will also create an ongoing revenue which will generate up to £12k a month and repay the investments made by the contributing partners over 10 years.

Cabinet considered a report proposing changes in representation on outside bodies and steering groups for the municipal year 2018/19.

As nominations for the representative and deputy to the NW Surrey Engagement Programme Stakeholder Reference Group had not been forthcoming in time for consideration at this meeting, Cabinet agreed to delegate those appointments to the Leader, Councillor I.T.E. Harvey.

Resolved to:

1. approve the following appointments effective immediately until June 2019:

2. delegate appointment of a representative and deputy to the NW Surrey Engagement Programme Stakeholder Reference Group to the Leader.

Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information)

Cabinet considered an exempt report regarding the acquisition of property ‘P’.

Cabinet members asked to see the valuation survey for the property before completing acquisition of the asset and agreed that the Portfolio Holders for Housing and Corporate Management be included in the consultation on subsequent negotiations.

Alternative options considered and rejected

To not progress the purchase of the property.

Resolved to:

1.    approve the acquisition of the residential property ‘P’ to be held in the name of its subsidiary Knowle Green Estates Ltd.;

2.    authorise the Chief Financial Officer to make prudent borrowing arrangements for the transaction;

3.    authorise the Chief Financial officer to determine with Knowle Green Estates Ltd the most financially prudent way of financing the transaction between the Council and the Company, noting this may include a Council loan to Knowle Green Estates for the full amount of the funds at cost;

4.    formally agree the offer submitted, and authorise the Property and Development Manager to undertake any necessary subsequent negotiations (including making a further offer if required, in consultation with the Leader, Portfolio Holders for Housing and Corporate Management and the Chief Finance Officer), and complete the acquisition of the asset;

5.    authorise the Head of Corporate Governance to enter into any legal documentation necessary to acquire the asset in the name of Knowle Green Estates Ltd.; and

6.    authorise officers to pursue other opportunities to acquire properties under similar circumstances for Cabinet consideration.

Reasons for decision

Acquiring the residential property will allow the Council to make a substantial revenue budget saving, whilst providing a stable home for a local family with complex needs, as well as providing an asset for future use should the family choose to move on. The acquisition will add to the Knowle Green Estates portfolio of residential properties.

Paragraph 3 – Information relating to the financial or business affairs of any particular person (including the authority holding that information)

Cabinet considered an exempt report giving details of progress made in the development of a business plan for Knowle Green Estates Ltd.

Resolved:

1.    To note progress towards the development of a Knowle Green Estates Ltd (KGE) business plan;

2.    To note the advice on State Aid which has been provided by Counsel (Confidential Appendix 1);

3.    Subject to receiving up to date valuation advice prior to transfer, to delegate authority to the Chief Executive in Consultation with the Leader, Portfolio Holder for Finance (or the Deputy Leader if he is not available) and Chief Finance Officer, to transfer the following Council properties into the ownership of Knowle Green Estates Ltd for nil cash consideration:

a.    Former Bugle PH

b.    Former Churchill Village Hall;

4.    Subject to receiving up to date valuation advice prior to transfer, to delegate authority to the Chief Finance Officer in Consultation with the Leader, Portfolio Holder for Finance (or the Deputy Leader if he is not available) and Chief Executive, to loan to Knowle Green Estates Ltd (if necessary) the funds to enable it to purchase at full market value:

a.    Former Bugle PH

b.    Former Churchill Village Hall

c.    42 Kingston Road

d.    Cranford Road;

5.    To note in relation to 42 Kingston Road (Cabinet minute 25 April 2018) that the Chief Finance Officer has determined the most financially advantageous funding arrangement for the purchase is for it to be held in Knowle Green Estates Ltd.;

6.    To note that any funding requirement will be provided under the Loan and Drawdown Agreement approved by Cabinet on 11 May 2017;

7.    Subject to receiving up to date valuation advice prior to transfer, to delegate authority to the Chief Executive in consultation with the Leader to:

a.    Move a Council property in the Municipal Portfolio to the Residential Portfolio by transferring it to KGE Ltd on such terms as he thinks fit

b.    Consent to receive a KGE Ltd property in the Residential Portfolio which is to be held by the Council in the Investment or Municipal Portfolio on such terms as he thinks fit; and

8.    To delegate to the Head of Corporate Governance to enter into all documentation required to give effect to these transfers and loans.

Reasons for decision

To document the relationship between the Council and Knowle Green Estates Ltd.  To allow the Council and the Company to move properties to the most advantageous holding organisation.  To provide a source of funds to the Company (if it is deemed advantageous by the Chief Finance Officer) so that the properties can be held as debt rather than equity.