Agenda and minutes

In the absence of Councillor Jon Collins, Councillor Graham Chapman chaired the meeting.

Councillor Alan Clark    (non-Council)

Councillor Jon Collins    (other Council business)

Councillor Dave Liversidge   (non-Council)

Councillor Nick McDonald    (non-Council)

Councillor Alex Norris    (non-Council)

Councillor Dave Trimble    (non-Council)

Councillor Jane Urquhart    (non-Council)

David Bishop

None

Last meeting held on 20 May 2014 for confirmation

The Board confirmed the minutes of the meeting held on 20 May 2014 as a correct record and they were signed by the Chair.

Joint report of Portfolio Holder for Community Safety, Housing and Voluntary Sector and Portfolio Holder for Community Services

The Board considered the Portfolio Holder for Community Safety, Housing and Voluntary Sector and Portfolio Holder for Community Service’s report detailing the proposals to replace the life expired homes at Stepney Court and provide a new Neighbourhood Joint Service Centre (JSC) to replace the existing Housing Office and Library.

RESOLVED to

(1)  approve the development of Stepney Court Independent Living Scheme and Strelley Road Neighbourhood JSC redevelopment at a cost of £4.991 million;

(2)  approve the commencement of the decommissioning and rehousing process for tenants, noting that the funding for Homeloss payments and security of the building is to come from the Housing Revenue Account;

(3)  approve the procurement of a contractor for the demolition of 29 independent living units at Stepney Court, the Strelley Road Library and Housing Officer, subject to tenders being returned within the funding envelope of £0.200 million, and delegate authority to the Portfolio Holder for Community Safety, Housing and Voluntary Sector and Portfolio Holder for Community Services, in consultation with the Corporate Director for Development and Growth and the Director of Legal and Democratic Services, to let the contract following the tender process;

(4)  approve the procurement of a contractor for the design and rebuild of 31 independent living units and Stepney Court and Strelley Road JSC, subject to tenders being returned with the funding envelope of £4.535 million, and delegate authority to the Portfolio Holder for Community Safety, Housing and Voluntary Sector and Portfolio Holder for Community Services, in consultation with the Corporate Director for Development and Growth and the Director of Legal and Democratic Services, to let the contract following the tender process and agree the whole site masterplan;

(5)  approve the procurement of goods and services for the purpose of the supply and fitting of furniture and equipment at the JSC, subject to tenders being returned within the funding envelope of £0.100 million, and delegate authority to the Portfolio Holder for Community Safety, Housing and Voluntary Sector and Portfolio Holder for Community Services, in consultation with the Corporate Director for Development and Growth and the Director of Legal and Democratic Services, to sign the relevant contracts following the tender processes;

(6)  grant delegated authority to the Portfolio Holder for Community Services, in consultation with the Corporate Director for Community Services and the Director of Legal and Democratic Services to approve the Nottingham City Council Business Case for the Strelley Road Neighbourhood JSC;

(7)  grant delegated authority to the Portfolio Holder for Community Services, in consultation with the Corporate Director for Community Services and the Director of Legal and Democratic Services to approve partnership agreements, such as service level agreements and leases.

Reasons for decisions

The site provides the opportunity for the Council to realise its ambition to provide high quality housing and a Neighbourhood JSC which will regenerate the area and improve the built environment. The JSC will benefit citizens as it will deliver services in an integrated manner.

Approval will allow the contractor and the designer to be appointed and the preferred options to be developed fro submission to planning.

Other options considered

Reconfiguring and refurbishing the existing Housing Office and Library, and improving the existing properties at Stepney Court was rejected and it is not considered value for money.

Doing nothing was rejected because of the Council’s ambition to provide high quality housing and actively regenerate neighbourhoods.

Joint report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration and Portfolio Holder for Adults, Commissioning and Health

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration and Portfolio Holder for Adults, Commissioning and Health’s report detailing the process that underpins the selection of ASRA Housing Group as a delivery partner to develop and extra care scheme on the Hazel Hill site.

RESOLVED to

(1)  approve the selection of ASRA Housing Group as the Registered Provider partner to develop a Design and Build, circa 70 unit, affordable housing rented extra care scheme;

(2)  grant delegated authority to the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration, in consultation with the Corporate Director for Development and Growth and the Directors of Legal and Democratic Services and Strategi Finance, to agree terms and conditions with ASRA to deliver an extra care scheme;

(3)  approve the disposal of the Hazel Hill site to ASRA at a less than best consideration to facilitate the development of an extra care scheme, and delegate authority to the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration, in consultation with the Corporate Director for Development and Growth and the Directors of Legal and Democratic Services and Strategic Finance, to approve the agreed terms;

(4)  approve that the allocation of capital support to ASRA will be capped at £1.1 million and comprise up to £.500 million New Homes Bonus and up to £0.600 million Adult Social Care Capital Grant pending a full financial appraisal of ASRA’s development costs and gap funding;

(5)  grant dispensation from Contract Procedure Rule 5.1.2 in accordance with Financial Regulation 3.29 to award the contract to ASRA and to provide ASRA with the capital funding detailed in resolution (4).

Reasons for decisions

The Council is committed to providing the best accommodation option for older citizens to ensure quality of life, choice and value for money. Working in partnership with ASRA delivers this commitment and ensures the maximum benefit from the Council’s financial contribution.

ASRA are the only Registered Provider partners that provided a positive response to the procurement exercise carried out in 2013, and the option appraisal that took place identified ASRA as the preferred Registered Provider development route. The decision will give ASRA the confidence to appoint an architect to produce a full scheme design with accurate development costs.

The New Homes Bonus that the Council is providing will allow an enhanced design scheme such as wet rooms, additional communal facilities, etc. The Adult Social Care Capital Grant will secure the Children and Adults department 50% nomination rights to the scheme to refer care and support clients who may have otherwise moved to a residential care facility. The remainder of the properties will be advertised via the City’s Choice Based Lettings (CBL) Scheme, of which ASRA is a partner.

Other options considered

Not proceeding with the extra care scheme was rejected as there is a need for this type of scheme on the north of the City.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report setting out the Council’s pre-audit General Fund and Housing Revenue Account (HRA) capital outturn for 2013/14.

RESOLVED to

(1)  note:

(a)  the capital outturn and explanations of variances over £0.100 million as detailed in Appendices A and B of the report;

(b)  the ongoing review of existing schemes within the programme in light of the level of funding available;

(2)  approve:

(a)  the extension of the rolling capital schemes as set out in paragraph 2.6 of the report;

(b)  the updated programme shown in paragraphs 2.7 and 2.8 of the report;

(c)  that the final distribution of Arrow Light Rail is used to offset the prudential borrowing that financed the acquisition of Arrow Light Rail, as detailed in paragraph 2.10 of the report.

Reasons for decisions

To enable formal monitoring of progress against the 2013/14 capital budget and the impact of actual and planned management action and confirm that financing options were managed in order to best utilise the resources available to fund the capital programme.

To provide and update on the commitments that are to be carried over into the five year programme 2014/15 to 2018/19 and highlight the capital resourcing requirements for funding the proposed capital programme.

Other options considered

No other options were considered because it is an important component of the Council’s financial management and governance framework to set out the Council’s year end financial position for 2013/14.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report setting out the Council’s pre-audit General Fund and Housing Revenue Account (HRA) revenue outturn 2013/14.

RESOLVED to

(1)  note:

(a)  the pre-audit revenue outturn for 2013/14 including a revenue underspend of £1.175 million after taking into account recommended carry-forwards, as set out in paragraph 2.2 and Appendix A of the report;

(b)  the management action undertaken to control identified cost pressures across services, as set out in Appendix B of the report;

(c)  net General Fund carry forwards of £1.454 million as set out in paragraph 2.6 and Appendix Aii, subject to endorsement by the appropriate Portfolio Holder;

(d)  the discretionary rate relief granted in 2013/14 detailed in paragraph 2.11 of the report;

(e)  the position regarding cost reductions, invest to saves, pressures and income generation for 2013/14 detailed in paragraph 2.4 of the report;

(2)  approve:

(a)  the transfer of the balance of the 2013/14 underspends, subject to the finalisation of the audit, to the investment fund in 2014/15;

(b)  the movements of resources as set out in paragraph 2.5 and Appendix D of the report;

(c)  the net movement to earmarked reserves, as set out in paragraph 2.7 and Appendix E of the report;

(d)  the HRA outturn for 2013/14, as set out in paragraph 2.8 and Appendix F of the report;

(e)  write-offs in excess of £10,000, totalling £2.143 million where all options for recovery have been exhausted, as set out in   paragraph 2.10 of the report;

(3)  to note and endorse the allocations from the corporate contingency, as set out in paragraph 2.3 of the report.

Reasons for decisions

To enable formal monitoring of progress against the 2013/14 budget and the impact of actual and planned management action.

To approve the virements of budgets and transfer of reserves as required by corporate financial procedures.

Other options considered

No other options were considered as the Council is required to ensure that, at a corporate level, expenditure and income are kept within approved budget levels.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s report setting out the 2013/14 performance in respect of the management of the Council’s external debt and investments.

RESOLVED to

(1)  note the performance information in relation to Treasury Management   for 2013/14 as detailed in the report;

(2)  endorse the amendment of the 2014/15 Treasury Management Strategy to add Close Brothers Limited to the approved counterparty list.

Reasons for decisions

The Council adopted the Chartered Institute of Public Finance and Accountancy’s (CIPFA) revised Code of Practice on Treasury Management in Local Authorities on 5 March 2012 which requires a formal annual report on the performance of the Treasury Management function.

In accordance with the adopted CIPFA code, Executive Board needs to endorse the changes to the Council’s annual Treasury Management Strategy before they are approved at a meeting of Full Council.

Other options considered

Options for management of the Council’s debt an investment portfolio are continually reviewed. The overall aim is to minimise the net revenue costs of our debt whilst maintaining an even debt profile in future years, and to maximise investment returns within stated security and liquidity guidelines.

To consider excluding the public from the meeting during consideration

of the remaining item(s) in accordance with section 100a(4) of the Local

Government Act 1972 on the basis that, having regard to all the

circumstances, the public interest in maintaining the exemption

outweighs the public interest in disclosing the information

The Board decided to exclude the public from the meeting during consideration of the remaining agenda item in accordance with Section 100A(4) of the Local Government Act 1972 on that basis that, having regard to all the circumstances, the public interest in maintaining the exemption outweighs the public interest in disclosing the information.

Report of Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration

The Board considered the Deputy Leader/Portfolio Holder for Resources and Neighbourhood Regeneration’s exempt report.

RESOLVED to approve the recommendations in the report.

Reasons for decisions

As detailed in the report.

Other options considered

As detailed in the report.