Cabinet - Tuesday, 13th December, 2016 7.00 pm - Agenda and minutes

To confirm the Minutes of the Meeting held on 15th November, 2016 (copy attached).

The Minutes of the meeting of the Cabinet held on 15th November, 2016 were confirmed and signed by the Chairman.

To consider the Head of Financial Services’ Report No. FIN1626 (copy attached), which sets out the main activities of Treasury Management Operations during the first half of 2016/17. 

The Cabinet received the Head of Financial Services' Report No. FIN1626, which set out the main activities of the treasury management operations during the first half of 2016/17 and provided an update on the current economic conditions affecting treasury management decisions.  The appendix to the Report showed the actual prudential indicators relating to capital and treasury activities for the first half of 2016/17 and compared these to the indicators which had been set in the Annual Treasury Management Strategy for the year, which had been approved by the Council in February, 2016.

The Cabinet was informed that the Council had continued to receive treasury management advice from Arlingclose Limited, who provided advice to around 25% of local authorities. It was noted that the result of the referendum on European Union membership in June, 2016 had had a significant effect on projections of domestic economic growth. It was also explained that the Council had now began borrowing to finance the acquisition of income yielding investment properties. The Report set out a summary of the Council’s investment activity in the first half of 2016/17.

In response to a question, it was confirmed that the Council would continue to maintain a diverse range of types of investment in order to maintain a balanced and resilient portfolio. 

The Cabinet NOTED the Council’s treasury management operations in the first half of 2016/17, as set out in the Head of Financial Services' Report No. FIN1626.

To receive the Directors’ Management Board’s Report No. DMB1606 (copy attached), which sets out details of the Council’s performance over the first six months of the 2016/17 municipal year.

The Cabinet received the Directors’ Management Board’s Report No. DMB1606, which set out performance monitoring information for the first half of 2016/17, with further updates where relevant. 

The Chief Executive explained that a major review of the Council’s priorities had been undertaken, based on the concept of “Listen, Learn and Deliver – Better”. The Council now had four new priorities underpinning its stated purpose of “Rushmoor Borough Council, working with others to improve the quality of people’s lives”. These were:

·                     Sustaining a thriving economy and boosting local business

·                     Supporting  and empowering our communities and meeting local needs

·                     Cleaner, greener and more cultural Rushmoor

·                     Financially sound with services fit for the future

It was reported that, against each priority, the majority of indicators showed good progress, with very few ‘red’ areas. Members queried in which areas the ’red’ indicators were located and also sought and obtained confirmation that the targets that had been set had been sufficiently demanding.

The Cabinet NOTED the Directors’ Management Board Report No. DMB1606 and the performance in the first six months of the 2016/17 municipal year.

To consider the Head of Environmental Health and Housing’s Report No. EHH1626 (copy attached), which sets out a proposed level of fees and charges to be applied for licences under the Scrap Metal Dealers Act 2013.

The Cabinet considered the Head of Environmental Health and Housing’s Report No. EHH1626, which recommended new charges for licences in respect of scrap metal and vehicle recycling activities and proposed an approach for the setting of fees in future years.

The Cabinet was informed that the setting of fees for both site and collectors’ licences had come about as a result of the Scrap Metal Dealers Act 2013, which had created an improved regulatory regime for the scrap metal recycling and vehicle dismantling industries. The Report set out how the proposed charges had been calculated and also the reasons for seeking a change to the Council’s Scheme of Delegation to allow officers to continue to administer this licensing regime.

Following a question from a Member, it was confirmed that these fees would be added to the Council’s overall fees and charges schedule and updated annually, as agreed at the Cabinet meeting on 15th November, 2016.

The Cabinet RESOLVED that

(i)            the approach used in setting the fees and the recommended level of fees for both site and collector’s licences, as set out in Appendix 1 of the Head of Environmental Health and Housing’s Report No. EHH1626, be approved; and

(ii)          the updating of the Council’s Scheme of Delegation, to reflect the changes introduced by the Act, be approved.

To consider the Corporate Director’s Report No. CD1606 (copy attached), which sets out proposed changes to the Council’s Dignity at Work and Organisational Change policies. 

The Cabinet considered the Corporate Director’s Report No. CD1606, which set out updates made to the Council’s Dignity at Work and Organisational Change policies. Members were informed that the Human Resources team were in the process of updating all of the Council’s human resources policies. The proposed changes for the two policies in question were set out in the Report. The Report also set out a request that, in future, any minor changes to other policies should be agreed by the Chief Executive, in consultation with the Cabinet Member for Corporate Services. During questioning, it was agreed that any significant changes to policies would be referred to the Cabinet and that the Council would continue to demonstrate its approach of openness with its staff in relation to human resources issues.

The Cabinet RESOLVED that

(i)           the revised Dignity at Work and Organisational Change policies, as set out in the appendices to the Corporate Director’s Report No. CD1606, be approved;

(ii)          the Chief Executive, in consultation with the Cabinet Member for Corporate Services, be authorised to agree future updates to existing human resources policies; and

(iii)         consequential changes to the Council’s Constitution, to reflect any changes made, be approved.

To consider the Solicitor to the Council’s Report No. LEG1616 (copy attached), which sets out a proposal for the redevelopment of the High Street Multi-Storey Car Park in Aldershot.

The Cabinet considered the Solicitor to the Council’s Report No. LEG1616, which set out a proposal for the redevelopment of the High Street Multi-Storey Car Park, Aldershot, as part of the Galleries redevelopment. The Report set out details of the proposal, which would include the provision of a Council operated public car park within phase one of the Galleries redevelopment scheme. It was confirmed that there were structural problems with the existing car park and that it had reached the end of its useful life. Members were reminded that the Council was required to obtain best value when disposing of its assets and, therefore, the terms of any financial offer would be assessed by the District Valuer and the results of this would be presented to the Cabinet before any deal was agreed.

The Cabinet discussed the proposals and expressed support for the regeneration of this key site in Aldershot. Members stressed the need, however, for the car park to be re-provided at an early stage of the redevelopment and requested that this should be clearly stated in the development agreement.

The Cabinet RESOLVED that the disposal of the High Street Multi-Storey Car Park to the developer, upon the grant by long lease of public parking for up to 300 spaces within phase one of the Galleries redevelopment, be approved, subject to:

-              either an independent valuer agreeing that the terms of the agreement provided best value or a further decision of the Cabinet that any disposal at an undervalue not exceeding £2 million would help to secure the improvement of the economic or environmental well being of Aldershot;

-              the Solicitor of the Council agreeing the terms of the development agreement; and

-              the developer meeting the Council’s reasonable legal and valuation costs.

To consider the Solicitor to the Council’s Report No. LEG1615 (copy attached), which sets out a proposal to dispose of garages owned by first Wessex to Hampshire Garages Limited.

The Cabinet considered the Solicitor to the Council’s Report No. LEG1615, which sought authority for the disposal of 69 garage sites owned by First Wessex to Hampshire Garage Investments Limited.

Members heard that Hampshire Garage Investments Limited would give the Council the same covenant as currently with First Wessex. This would mean that, if the sites were redeveloped in the future, the Council would seek a share of the increased value of the site as a condition of granting its consent for the disposals. It was reported that Hampshire Garage Investments Limited would actively market the garage stock to increase letting, which currently stood at 21%. It was noted that this matter had been considered by the Community Policy and Review Panel.

The Cabinet RESOLVED that the Solicitor to the Council be authorised to issue consent to First Wessex transferring the 69 garage sites, as set out in the appendix to the Solicitor to the Council’s Report No. LEG1615, to Hampshire Garage Investments Limited, subject to:

-              the completion of a deed of covenant from Hampshire Garage Investments Limited agreeing not to transfer, whether freehold or long leasehold, or otherwise redevelop the garage sites (other than for garaging or parking) without the Council’s consent;

-              First Wessex entering into an agreement with the Council to ring fence the capital receipt to provide housing within the Borough; and

-              payment of Council’s legal fees by First Wessex in connection with the matter.