Executive Minutes

Date:
Thursday, 13th July, 2017
Time:
7.30 pm
Place:
New Council Chamber, Town Hall, Reigate
 

Attendance Details

Present:
Councillors Dr L.R. Hack (Deputy Leader, in the Chair); Mrs N. Bramhall, K. Foreman, E. Humphreys, A. Horwood, G.F. Knight and T. Schofield.
Also Present:
Councillors Mrs R. Absalom, D. Allcard, M.A. Brunt, J.C.S. Essex, N.D. Harrison, D. Jackson, D. Powell, B.A. Stead, J. Stephenson and Mrs R. Turner.
Min NoDescriptionResolution
Part I
14 MINUTES

RESOLVED that the minutes of the meeting held on 22 June 2017 be approved as a correct record and signed.

15 APOLOGIES FOR ABSENCE

Executive Members: Councillor V.W. Broad, Mrs R. Mill and Mrs R. Renton.


Non-Executive Members: Councillors M. Blacker, D. Pay, M.J. Selby and C.T.H. Whinney.
 

16 DECLARATIONS OF INTEREST

None.

17 HORLEY PUBLIC REALM PROJECT

The Executive Member for Business and Economy, Councillor E. Humphreys reminded the Executive that it had included a scheme within the Council’s Capital Programme for public realm improvements within Horley town centre. The report before the Executive sought approval for the scope of the third phase of those works and to give authority to appoint Surrey County Council to deliver, procure and manage the works.


It was emphasised that this final phase of the improvement works would be concentrated in the pedestrian precinct in the town’s High Street. The aim was to create an attractive, safe and accessible space, at the heart of the town centre, which could be used for a range of activities, including events, outside eating and drinking and places for people to meet and to relax.


The works would include resurfacing, changes to lighting, new street furniture, better parking for the disabled and improved loading facilities.


The improvements would help to enhance the vitality and vibrancy of the town centre; encouraging people to stay longer and to spend more; improving their perception of the area; and acting as a catalyst for new business investment.


Councillor Humphreys indicated that the works would be funded by £530,000 from the Council’s Capital Programme and an additional £100,000 from Surrey County Council’s Section 106 developer contributions.


RESOLVED that:


(i) the scope of the third phase of public realm improvements in Horley town centre (option 1) as set out in the Executive’s report be approved;

 

(ii) the Head of Places and Planning be authorised to appoint Surrey County Council to design, procure and manage the improvements within the agreed budget; and

 

(iii) the Head of Places and Planning be authorised, in consultation with the Executive Member for Business & Economy, to make any changes to the scope of the improvements and to the procurement, design and management of the works as necessary without exceeding the agreed budget.

 

Reasons for decision: To enhance the pedestrian precinct of the High Street in Horley to create a high quality, flexible and attractive streetscape.

 

Alternative options: Design and deliver a scaled back scheme with a smaller scope of works or to a lower quality or defer the delivery of public realm improvements in Horley.
 

18 COMMUNITY INFRASTRUCTURE LEVY: STRATEGIC INFRASTRUCTURE PROGRAMME 2017-2022

Councillor T. Schofield, Executive Member for Finance informed the Executive that the Council had collected Community Infrastructure Levy (CIL) contributions for over a year which could now be put towards funding improved infrastructure and services in the borough.


The Executive had previously agreed to prioritise projects for CIL spending over a five year period to provide certainty to residents and infrastructure providers about how it would be used. Councillor Schofield explained that the report before the Executive sought their agreement on the first Strategic Infrastructure Programme (SIP) to cover the period 2017 to 2022.


The Executive received the list of projects that had been prioritised to equal, amounting to £3.6 million worth of CIL support. The projects included transport schemes, education, flood alleviation projects, healthcare and open space upgrades all of which supported the growing population of the area and helped to manage the impact of new development.


It was noted that the Council would not be able to formally commit to providing financial support for projects until sufficient CIL income had been accrued; however inclusion of projects in the Strategic Infrastructure Programme gave a degree of certainty to service providers in moving forward their scheme design and match funding bids.
 

CIL funding would be tied to specific projects and only released once the project detail was available and relevant agreements had been entered into. It was proposed that this be administered through a delegation arrangement.
The Council had a statutory duty to prepare an annual report of CIL income and expenditure and this would be placed on the Council’s website. In addition the Strategic Infrastructure Programme would be reviewed annually to ensure it remained up to date so that the Council could maximise the value it secured via CIL.


RESOLVED that:

 

(i) the Community Infrastructure Levy: Strategic Infrastructure Programme 2017-2022 as set out at Annex 3 of the Executive’s report be approved;


(ii) the relevant Head of Service, in consultation with the relevant Portfolio Holder(s), be authorised to transfer Community Infrastructure Levy monies to infrastructure providers for projects on the Strategic Infrastructure Programme; and


(iii) the annual review process and, as appropriate, update of the list of projects on the Strategic Infrastructure Programme be approved.


Reasons for decision: To agree the CIL Strategic Infrastructure Programme for 2017-2022 and to put in place a framework for the allocation of CIL spending; provide clarity about the Council’s priorities and to put in place procedures for administering and reviewing the Programme.


Alternative options: To not approve the SIP, but consider bids for CIL money on an annual or ad-hoc basis or to not identify any projects for CIL funding at this time. To not approve a delegation arrangement or an annual review of SIP.
 

19 PATHWAY FOR CARE: LOAN AND RESOURCE AGREEMENTS

Councillor Dr L.R. Hack, Deputy Leader introduced the proposal that an adjustment be made to the Loan and Resource Agreements for Pathway for Care. The Executive noted the background to the establishment of the Health and Social Care Company together with the governance arrangements that had been put in place for the Council’s Shareholder function through an Executive Sub Committee.


The Executive noted that in establishing a Sub Committee to manage the Council’s shareholder responsibilities it had also put in place funding, by way of a loan, to support Pathway’s costs until the business became succesful. This had been formalised through a Loan and Draw Down Agreement and a Resourcing Agreement between the Council and Pathway for Care.


The Executive Sub Committee on 15 June 2017 recommended to the Executive that an increase be made to the loan ceiling between the Council and the company. It was noted that this increased funding would allow the company to continue with the implementation of its business plan, covering the provision of care services for the community and commercial opportunities to help the Council achieve its self sufficiency goal by 2020. The plan would be reviewed annually.


RESOLVED that the Loan and Draw Down Agreement between the Council and Pathway for Care, as presented in the exempt Part 2 section of the Executive Sub Committee’s agenda (15 June 2017), be approved including the increased loan ceiling.


Reasons for decision: To provide additional loan funding to Pathway for care to allow it to progress its business plan objectives and to become successful.


Alternative options: To not approve the increased loan arrangements.
 

20 PROPERTY ACQUISITION

Councillor Mrs N.J. Bramhall, Executive Member for Property and Acquisitions informed the Executive that as part of the Council’s ongoing property investment and development strategy set out in the 5 Year Plan, the Council had agreed terms to acquire an office building in Reigate, subject to contract, due diligence and Executive approval, as an investment opportunity.


It was noted that terms had been agreed through a competitive bidding process against other UK based financial institutions and property companies which required working to a tight timetable which had resulted in the report coming to the Executive at short notice.


The Executive noted that the proposed acquisition was an attractive 16,000 square foot office investment built in the 1990s and benefitting from an excellent car park to office space ratio.


Work was progressing on the due diligence and subject to a satisfactory outcome and Executive approval, completion was anticipated for early August 2017. The Executive noted that the financial details of the acquisition, including the income, were set out in the Part 2 report of the Executive’s agenda.


It was noted that the investment would provide the Council with a substantial income stream and a return on investment that was significantly better than bank interest rates.


As the acquisition was required to proceed quickly to achieve the vendor’s timetable the Mayor had approved the disapplication of the Call-In procedure.


RESOLVED that the Head of Property be authorised, in consultation with the Head of Finance and the Executive Members for Property and Acquisitions and Finance, to acquire the Freehold interest of the property referred to in the Executive’s Part 2 (Exempt information) report (which was subject to a single occupational lease).


Reasons for decision: To support the Council’s 5 Year Plan objectives to become financially self sufficient.


Alternative options: To investigate alternative property acquisitions or to take no action.
 

21 STATEMENTS

None.

22 ANY OTHER URGENT BUSINESS

None.

23 EXEMPT BUSINESS

RESOLVED that members of the Press and public be excluded from the meeting for the following items of business under Section 100A(4) of the Local Government Act 1972 on the grounds that:


(i) it involved the likely disclosure of exempt information as defined in paragraph 3 of Part 1 of Schedule 12A of the Act; and

 

(ii) the public interest in maintaining the exemption outweighed the public interest in disclosing the information.
 

Part II(Confidential)
24 PROPERTY ACQUISITION
  • Item 11: Property Acquisition - Part 2 Report

The Executive Member for Property and Acquisitions, Councillor Mrs N.J. Bramhall informed the Executive of the various detailed financial information (including acquisition costs), details of occupational tenants and the asset management possibilities in relation to the proposed acquisition of a Freehold property in Reigate.


RESOLVED that the exempt information relating to the acquisition of a Freehold interest in Reigate be noted.
 

The meeting closed at 8.02 pm.