The Leader, or his nominee, to answer questions from Councillors on matters affecting the Borough, in accordance with Standing Order 15.
Note: the deadline for questions to be considered at this meeting is 12 noon on Thursday 11 October 2018.
Three questions were received by the deadline.
The first question is from Councillor Quentin Edgington.
Question 1
“Of the quoted fifty possible sites which have been identified for a new Leisure Centre can you please tell me how many are in each respective area of the Borough? i.e. ten in Stanwell four in Staines etc”
The second and third questions are from Councillor Denise Saliagopoulos.
Question 2
"Would the Leader kindly confirm to Council how much his administration have borrowed up to date from the Public Loans Board, to add to the portfolio of assets? What assurances can the Leader give our residents that the strict criteria that has been applied is 100 percent bullet proof. Would he clarify that this debt is a local taxpayers' debt? He may also be aware that the Prime Minister recently announced that councils would be given permission to carry on borrowing to add to their assets. What other acquisitions are in the immediate pipeline please? "
Question 3
"In the interests of openness to our residents, can the Leader please inform Council within the last 5 years who has been to the Queen's Garden Party, representing the Council? Can he also confirm which members of this Council have attended the Garden Parties on more than one occasion in their capacity as a Councillor or Mayor within the last 5 years and who is intended to represent the Council this year please?"
Minutes:
The Mayor reported that three general questions had been received in accordance with Standing Order 15, from Councillors Q.R. Edgington and D. Saliagopoulos.
1. Question from Councillor Quentin Edgington:
“Of the quoted fifty possible sites which have been identified for a new Leisure Centre can you please tell me how many are in each respective area of the Borough? i.e. ten in Stanwell, four in Staines etc."
Response from the Leader:
“Thank you for your question Councillor Edgington.
As stated in our press release of 20 September 2018 and my email to your Group member Cllr Sexton on 8 October, we have yet to identify any specific alternative site for a new Leisure Centre but we are continuing to assess over 50 potential locations across the borough for their suitability.
At this stage it would be inappropriate to release details on where all these sites are as this could lead to unnecessary speculation and concern amongst local residents. The assessment process will take a number of months to complete and, once we have narrowed down our options, further proposals will be issued for consultation.”
In accordance with Standing Order 15.2 Councillor Edgington asked the following supplementary question:
“In the light of the appalling consultation process can you give assurance that Keeble Brown will not be used in any future consultation on the Leisure Centre?”
The Leader responded: “No”.
2. Question from Councillor Denise Saliagopoulos:
"Would the Leader kindly confirm to Council how much his administration have borrowed up to date from the Public Loans Board, to add to the portfolio of assets? What assurances can the Leader give our residents that the strict criteria that has been applied is 100 percent bullet proof. Would he clarify that this debt is a local taxpayers' debt? He may also be aware that the Prime Minister recently announced that councils would be given permission to carry on borrowing to add to their assets. What other acquisitions are in the immediate pipeline please? "
Response from the Leader, Councillor Ian Harvey:
“Thank you for your question Councillor Saliagopoulos.
Total borrowing undertaken by the Council from the Public Works Loan Board (PWLB) since September 2016 is £1.017 billion, of which £1.008 billion is outstanding. The Council has adopted a prudent approach to borrowing, fixing the rates of interest at extremely low levels and ensuring that it is repaying all its loans on an annual basis. This debt is covered by high quality fixed assets with strongly performing rental covenants.
Rather like the maxim “there is no such thing as a free lunch” nothing is “100% bullet proof” but we apply very strict assessment and underwriting criteria to all proposed acquisitions.
The Council in its commercial acquisitions only selects best in class assets, and has a very robust due diligence process which evaluates quality of the asset, and the financial strength of the tenants. We have strengthened our internal team bringing in people with significant commercial experience and we work with top quality external advisers. The Council models future liabilities of potential assets over 50 years to ensure that it set asides from the net rental income sufficient funds to cover future refurbishments or rent free periods. This approach ensures that our revenue budget and council taxpayers are protected.
The Chief Finance Officer and the Portfolio Holder have previously briefed the Overview and Scrutiny Committee on our robust approach to risk management on asset acquisitions. I attended the 11th September Overview & Scrutiny meeting and spoke and answered questions on our property investment policy and it is notable that you were not present. Officers are currently drafting the Capital Strategy document which is a new requirement for all Councils which will clearly articulate our rationale for making acquisitions and how we manage risk. This strategy will be discussed at Overview and Scrutiny Committee and will come to Council in December for approval.
Through our acquisition programme we are now generating net additional income of approximately £10m (after paying interest, loan repayments covering supervision costs, and setting aside provision to cover future refurbishment costs etc). This is enabling the Council to maintain and improve the services for its residents and to deliver a range of much needed housing accommodation for our residents across the Borough.
The additional income has enabled the Council to offset the impact of the removal of our Revenue Support Grant, the significant reduction of New Homes Bonus Grant, to withstand the impacts to date of knock on cuts from Surrey County Council’s funding position, to increase the amount we spend on maintaining all our operational assets providing services for our residents. If under my leadership we had not gone down the path of generating robust long term income streams the consequences for our residents’ services would have been dire. For example our ability to maintain our day centres and independent living services, which are discretionary would have been very much in doubt
Our focus has shifted from acquiring assets to offset the revenue budget gaps to delivering housing which meets the needs of our residents. Having said that I do need to emphasise that as a borough council we continue to face a challenging financial future with more funding reductions likely in the future and uncertainties as to further impacts from County’s financial difficulties.”
3. Question from Councillor Denise Saliagopoulos:
"In the interests of openness to our residents, can the Leader please inform Council within the last 5 years who has been to the Queen's Garden Party, representing the Council? Can he also confirm which members of this Council have attended the Garden Parties on more than one occasion in their capacity as a Councillor or Mayor within the last 5 years and who is intended to represent the Council this year please?"
Response from the Leader, Councillor Ian Harvey:
“Thank you for your question Councillor Saliagopoulos.
Spelthorne Borough Council is allocated 4 tickets for the Royal Garden Parties and nominates two main guests who should each be accompanied.
In the last 5 years the following people have attended the Queen’s Garden Party to represent the Council:
Councillor Maureen Attewell and Mr Stephen Attewell
Councillor Colin Barnard and Mrs Barbara Barnard
Mr Mike Brennan and Miss Lisa Rollin
Councillor Alfred Friday and Mrs Kaye Friday
Councillor Ian Harvey and Mrs Helen Harvey
Councillor Mark Francis and Mrs Catherine Francis
Councillor Philippa Broom and Miss Louise Barron
Councillor Tony Harman and Mrs Daphne Harman
Councillor Suzy Webb and Miss Claudia Webb
No one has attended a Garden Party on more than one occasion in their capacity as a Councillor or Mayor. We have not yet chosen our nominations to attend the Garden Party in 2019.”
In accordance with Standing Order 15.2, Councillor Saliagopoulos asked the following supplementary question:
“Can you tell the Council why the leader of the Conservative Political Association, who has no connection with the Council, has attended the Garden Party when long serving members of the Council have never been to one?”
The Leader of the Council responded at the meeting, and subsequently in writing, as follows:
“I cannot recall the rationale behind that decision. However, I know that Councillor Leighton was nominated as it was during her Mayoral Year, but because she had attended previously was not permitted to go. By the time we were advised of this it was not possible to nominate any other Councillor to attend in her place. The nomination of attendees is within my remit so if you or any other opposition Group would like to put forward somebody, I and my Group would be happy to consider them.”