Issue - meetings

Note - that Essential Reference Papers B, C, D, F, G and H contain exempt information and are enclosed for Members only as they contain exempt information as defined in paragraph 3 of Part 1 of Schedule 12A to the Local Government Act 1972.  In considering these matters, the meeting may exclude the press and public as detailed at item 11.

With reference to:

       i.              the scores from the procurement exercise, set out in Exempt Essential Reference Paper D,

     ii.              the final Heads of Terms for the preferred developer set out in Exempt Essential Reference Paper B,

  iii.              the draft masterplan by the preferred developer set out in Exempt Essential Reference Paper C,

  iv.              the viability report written by Montagu Evans and set out in Exempt Essential Reference Paper D,

The Executive approves the preferred developer and authorises the Chief Executive, the Head of Strategic Finance and Property and the Head of Legal and Democratic Services (or their delegates) to issue a Contract Award Notice and proceed to sign a development agreement with the developer in due course, subject to:

(a)       appropriate final due diligence on the developer’s proposal, and

(b)       the Council approving capital and revenue funding for the arts centre.

The Executive Member for Finance and Support Services submitted a report requesting that the Executive approve the recommended developer for Old River Lane, following the completion of the OJEU process, and recommended capital and revenue budgets for approval by Council.

Councillor G Williamson stated that this was the final stage of formal Council approval and he referred to the procurement proposals for the core site.  He referred to potential enhancements to public space and residential units.  Councillor Williamson confirmed that, although a preferred bidder had been selected, the details were in the exempt papers and he was not at liberty to confirm the bidder at this meeting.

Councillor Williamson emphasised that the procurement process had been secure, comprehensive and robust.  He stated that the second element of the decision for the Executive was to make a recommendation to Council relating to the approval of arrangements for the arts centre construction.

Councillor Williamson referred to a range of possible funding options including the use of a proportion of New Homes Bonus towards the priority spending reserve adding a note of caution given that New Homes Bonus was in some doubt.  He concluded that recommendation B was a worst case scenario in terms of a manageable impact in terms of financial planning.

Councillor E Buckmaster referred to a paper from a parliamentary select committee.  He summarised a number of the findings in relation to town centres and referred to a shift that was taking place, whereby there were less financial transactions and more social interactions.

The Chief Executive responded to a question from Councillor M Allen in respect of the implications of this project not being supported by Council.  She referred to the significant amount of funding involved including £10m from the Hertfordshire Local Enterprise Partnership (LEP).

The Council’s Old River Lane advisor commented on the diversification of town centres with much less retail and more theatres and cinemas and public realm enhancements.  He referred to the bigger picture with particular reference to the internet retail fuelled decline in Town Centres.  He gave a number of examples of town centre growth and stated that doing nothing equated to a disinvestment in Town Centres.  He also stated that a mix of uses was a sensible long term solution.

The Head of Strategic Finance and Property explained that the revenue budget figures detailed in the report, represented a worst case scenario.  The Chief Executive responded to a question from Councillor N Symonds in respect of her concerns regarding the impact of the Old River Lane proposals on South Street.

Councillor L Haysey proposed and Councillor G Williamson seconded, a motion that, pursuant to Section 100 (A) (4) of the Local Government Act 1972, the press and public be excluded during consideration of the business referred to in part of Minute 402 on the grounds that it involved the likely disclosure of exempt information as defined in paragraph 3 of Part 1 of Schedule 12A of the said Act.

After being put to  ...  view the full minutes text for item 402