Agenda and minutes

Venue: Norfolk Room, The Committee Suite, Elizabeth House, Dereham

Items
No. Item

55.

Apologies

To receive apologies for absence. 

Minutes:

Apologies for absence were received from Mrs M. A. Chapman-Allen and Mr R. F. Goreham.

56.

Declaration of Interest

Members are asked at this stage to declare any interests they may have in any of the following items on the agenda. The Members’ Code of Conduct requires that declarations include the nature of the interest and whether it is a personal or prejudicial interest.

Minutes:

Both Messrs P. Claussen and W. H. Smith declared an interest in item 6 (Minute 58/07) the nature of which related to them both sitting on the ARTP Board as non-executive Members.  Both Members left the room whilst the item was being discussed.

 

Mr P. Cowen declared an interest in item 10 (Minute No. 62/07) the nature of which related to his profession as an architect.  Mr Cowen was able to stay for the item and be involved in any discussion.

57.

Non-Members Wishing to Address the Meeting

To note the names of any non-members who wish to address the meeting.

Minutes:

Councillor E. Gould and Messrs S. Askew, J. Labouchere, P. Cowen and S. Howard-Alpe.

58.

Anglia Revenues and Benefits Partnership Ltd Loan Funding pdf icon PDF 58 KB

Report of the Executive Member for the Cabinet Office.

Additional documents:

Minutes:

The Interim Chief Executive introduced the report which requested that Members support the recommendation to provide loan funding to ARPT Ltd.

 

ARPT Ltd set up trading on 1 July 2006 with a business plan that required £93,250 investment in one year (2007/08).  The forecast cost and income statement to 31 March 2008 had been reviewed and as part of the Authority’s commitment to the original business case a loan should be provided for the first year of trading.

 

It was suggested that interest should be charged 0.1% above bank base rate and this was thought to be a fair rate for ‘in house’ loan funding.  The term of the loan was set at 3 years with a repayment holiday of one year built-in. 

 

Two options were made available to Members.  The first was to support current service level by providing loan funding for working capital to the total value of £64,000 to be drawn down as required by ARPT Ltd at the current rate achieved by investing in the normal ‘call’ account.  This would have no adverse impact on authority finances.  The second option was to reject the recommendation to provide loan funding.

 

The reasons for the recommendation were that recommendation (a) was setting the loan at the standard ‘call’ account rate which would provide further support to ARPT Ltd which was currently in its set up phase.  The shareholder loan agreement sets out the loan commitment of both partner authorities to accord with funding split 64:36.  The Treasury Management Policy does not currently cover for the provision of loans to related entities and would therefore need amendment if recommendation (a) was adopted.

 

RECOMMEND to Council that

 

(a)    current service level be supported by providing loan funding for working capital to the total value of £64,000 to be drawn down as required by ARPT Ltd at the current rate achieved by investing in the normal ‘call’ account; subject to Forest Heath District Council agreeing to the same terms on the remaining £36,000 of loan funding to be provided by them, subject to their committee procedures; and

 

(b)    the Treasury Management Policy be amended to include loans to companies in which the authority holds an interest.

 

 

59.

Next Meeting

It was noted that the next meeting of Cabinet would take place on 5 June 2007 at 9.30 am.

 

Minutes:

It was noted that the next meeting of the Cabinet would be held on 5 June 2007 at 9.30 am.

60.

Exclusion of Press and Public

RESOLVED that under Section 100(A)(4) of the Local Government Act 1972, the Press and the public be excluded from the meeting for the following items of business on the grounds that they involve the likely disclosure of exempt      information as defined in paragraph 3 of Schedule 12A to the Act.

 

Minutes:

RESOLVED that under Section 100(A)(4) of the Local Government Act 1972, the Press and the public be excluded from the meeting for the following items of business on the grounds that they involve the likely disclosure of exempt information as defined in paragraph 3 of Schedule 12A to the Act.

 

 

61.

Administration of the Breckland Housing Register – approval to negotiate with preferred contractor

Report of the Executive Member for Environment (Planning and Housing)

Minutes:

This item was withdrawn as the tender evaluation process was still ongoing.

62.

Project CREATE

Report of the Business Transformation Director.

 

Minutes:

The Cabinet together with the Project Create Task and Finish Group were given a presentation by Mr J. Layton, Technical and Commercial Adviser, on the Business case for Planning and Building Control and the future Trading Architecture.

 

Members of the Project Create Task and Finish Group then retired to consider the recommendations contained within the report and returned to Cabinet to relay their proposals to which Cabinet agreed.

 

The Chief Accountant informed Members of the Auditor’s recommendations arising from the gateway review, which covered the following areas:

 

     (i)      ICT support

   (ii)      Availability of necessary resources

 (iii)      Project development team

  (iv)      Budget reporting and plans

    (v)      Risk register

 

These were all anticipated issues and plans were in hand to deal with them.

 

The options and reasons for the recommendation were as set out in the report.

 

RECOMMENDED as follows:-

 

a)  Options Paper - Planning & Building Control -

 

RECOMMENDto Council to

1)  approve the payment of £38,000 plus expenses for the Full Business Case;

2)  approve that a wholly-owned Breckland Company and, if necessary, a separate trading company, is set up to deliver planning and building control services and other products and services as appropriate;

3)  approve that capital funding of up to £100,000 is released and that a loan of up to £200,000 is made to the Company on the understanding it is released in accordance with the details in the proforma B;

4)  subject to job evaluation, the wholly-owned Company should appoint a new Manager.

 

b)  HR and Payroll

 

RECOMMENDthat

1)  the Council does not proceed to Full Business Case;

2)  the Council continues to explore shared services in HR and Payroll whilst continuing to build a platform for HR and Payroll and keeps the dialogue with Capita open to explore what partnership arrangements may be available through the framework contract.

 

c)  Future Trading Architecture

 

RECOMMEND that option 3.2 of the report, that the Council implements the alternative approach and does not set up a Holding Company and that associated costs are funded from existing Create budget allocations, is approved.