Agenda, decisions and minutes

The Executive Member for Finance and Support Services submitted a report seeking approval for the Business Rates Revaluation Support Scheme for 2017/18 - 2020/21. 

Following the Government’s national revaluation on all commercial premises in England and Wales, all such premises in the District had been assigned a new ‘rateable value’ by the Valuation office agency.  With effect from 1 April 2017, many businesses in the District had a higher business rates bill and so the Government had announced £300m of extra funding for local authorities to provide discretionary relief to those businesses facing increases in their business rate bills following the revaluation.  The Executive Member proposed a scheme for determining how this extra funding would be allocated.

The Executive recommended the proposed scheme as now detailed.

RECOMMENDED – that the Business Rates Revaluation Support Scheme as now submitted, be approved.

The Leader welcomed Members and the public to the meeting and reminded everyone that the meeting was being webcast.

The Leader referred to the recent sad news that Honorary Alderman Clive Hodson-Smith had passed away as a number of Members had attended his funeral earlier in the day.  A formal tribute would be paid at the next Council meeting.

She also advised that the running order of the agenda would be amended to accommodate visiting Officers and to allow for the exclusion of the public from Minute 142 – Approval of Property Investment Company Business Plan and Case for Incorporation of the Company, should the need arise.

To approve as a correct record the Minutes of the meeting held on 27 June 2017 (previously circulated in the Council agenda of 18 July 2017).

RESOLVED – that the Minutes of the Executive meeting held on 27 June 2017, be approved as a correct record and signed by the Leader.

In respect of Minute 141 – Investing in Culture in Hertford, the Leader advised that she was a Director of the Hertford Arts Hub and would not participate in the Executive’s consideration of this matter.  Although not a disclosable pecuniary interest, she would leave the chamber for this item.  

That (A) the use of New Homes Bonus reserve funding to provide seed funding of up to £20k to the Arts Hub to enable more detailed scope and design work to be undertaken, be approved; and

(B)     the use of New Homes Bonus reserve funding to provide a contribution of up to £100k towards the cost of building works to expand Courtyard Arts as per the planning permission already granted, be approved, subject to the rest of the project funding being raised to allow the full project, as outlined, to go ahead.

The Leader of the Council left the chamber for this item and the Deputy Leader assumed the chair.

The Executive Member for Health and Wellbeing submitted a report detailing various schemes that were being considered by both the Council and other partners relating to the cultural offer within Hertford.  These fell into three main projects, which if considered individually might not stack up on purely financial terms.  However, by wrapping the projects together they could deliver much greater benefits for Hertford and the wider area overall.  Given the proximity of the projects to each other there was a potential of establishing a “Cultural Quarter”, an area within the town that could have a positive benefit on each other and beyond. 

The Executive Member proposed that the opportunity to invest in two of those projects through the use of New Homes Bonus reserve, be utilised.  He detailed the schemes relating to the Arts Hub and Courtyard Arts.

In response to various comments, the Executive noted the development of an over-arching Cultural Strategy for the District.

The Executive approved the proposals now detailed.

RESOLVED - that (A) the use of New Homes Bonus reserve funding to provide seed funding of up to £20k to the Arts Hub to enable more detailed scope and design work to be undertaken, be approved; and

(B)   the use of New Homes Bonus reserve funding to provide a contribution of up to £100k towards the cost of building works to expand Courtyard Arts as per the planning permission already granted, be approved, subject to the rest of the project funding being raised to allow the full project, as outlined, to go ahead.

At the conclusion of the Executive’s consideration of this matter, the Leader returned to the chamber and assumed the chair.

Note – Essential Reference Papers B – D are enclosed for Members only as they contain exempt information as defined by paragraph 3 of Part I of Schedule 12A to the Local Government Act 1972

That (A) the strategic and financial business case (presented in paragraphs 1.10 – 1.21 of the report submitted) for the proposed Property Investment Company be approved;

(B)     the Memorandum and Articles of Association, appended in draft form to the report submitted, be approved in principle with final approval delegated to the Executive Member for Finance and Support Services acting in consultation with the Head of Housing and Health and Head of Legal and Democratic Services;

(C)    the Shareholder Agreement, appended in draft form to the report submitted, be approved in principle with final approval delegated to the Executive Member for Finance and Support Service acting in consultation with the Head of Housing and Health and Head of Legal and Democratic Services;

(D)    the Property Investment Company, to be called Millstream Property Investments Limited, be incorporated as a company limited by shares wholly owned by East Herts Council;

(E)     authority to complete and submit the necessary documentation for incorporation be delegated to the Head of Legal and Democratic Services;

(F)     East Herts Council’s full Council assumes the role of Shareholder of the company;

(G)    authority to determine a Shareholder representative to attend general meetings or enter into communication with the company in place of such meetings be delegated to the Leader of East Herts Council;

(H)    a Shareholder Advisory Group of three elected Members of East Herts Council be established with the purpose of advising the Council when exercising its role as Shareholder, with advice provided by senior officers of the Council;

(I)      the identification of members of the Shareholder Advisory Group be delegated to the Leader of East Herts Council;

(J)     the composition of the company’s Board of Directors to be, in the first instance, three Core Directors who shall be officers of East Herts Council, with up to an additional three directors appointed at any time in the future as Independent Directors selected for their relevant expertise and experience;

(K)     authority to nominate the Core Directors be delegated to the Leader of East Herts Council acting in consultation with the Chief Executive;

(L)     authority to nominate the Independent Directors be reserved by full Council acting in its role as Shareholder; and

(M)    the key outputs of latest draft initial 30 year business plan, covering the purchase and management of the Council’s existing five residential properties, included in Essential Reference Paper ‘D’ of the report submitted, be noted.

The Leader advised that should it be necessary, the press and public could be excluded from the meeting, if Members wished to make any detailed reference to the exempt information in Essential Reference Papers ‘B’ – ‘D’.

The Executive Member for Finance and Support Services submitted a report presenting the strategic and financial business case for establishing a Property Investment Company, wholly owned by East Herts Council, for the purpose of generating revenue and capital income.  He reminded the Executive of previous deliberations by Scrutiny and the Executive which had helped refine the proposals and focused on transferring the Council’s five residential properties before considering further acquisitions.

The Executive Member also detailed the proposed governance arrangements for the company and asked the Executive to note that a report on the finalised business plan and the allocation of funding would be submitted to Council in due course.

In response to Members’ comments and questions, Officers clarified the proposed governance arrangements and the ability to call on external skills when needed.  The Council’s Constitution set out the circumstances in which the Leader’s responsibilities could be exercised by the Deputy Leader.  Officers also advised that the initial structure could be adapted over time as the company developed and emphasised that Council would still have overall control.

The Executive approved the proposals now detailed at recommendations (A) – (M) and supported the recommendations detailed at (N) – (Q) to Council.

RESOLVED - that (A) the strategic and financial business case (presented in paragraphs 1.10 – 1.21 of the report submitted) for the proposed Property Investment Company be approved;

(B)   the Memorandum and Articles of Association, appended in draft form to the report submitted, be approved in principle with final approval delegated to the Executive Member for Finance and Support Services acting in consultation with the Head of Housing and Health and Head of Legal and Democratic Services;

(C)   the Shareholder Agreement, appended in draft form to the report submitted, be approved in principle with final approval delegated to the Executive Member for Finance and Support Service acting in consultation with the Head of Housing and Health and Head of Legal and Democratic Services;

(D)   the Property Investment Company, to be called Millstream Property Investments Limited, be incorporated as a company limited by shares wholly owned by East Herts Council;

(E)   authority to complete and submit the necessary documentation for incorporation be delegated to the Head of Legal and Democratic Services;

(F)   East Herts Council’s full Council assumes the role of Shareholder of the company;

(G)  authority to determine a Shareholder representative to attend general meetings or enter into communication with the company in place of such meetings be delegated to the Leader of East Herts Council;

(H)   a Shareholder Advisory Group of three elected Members of East Herts Council be established with the purpose of advising the Council when exercising its role as Shareholder, with advice provided by senior officers of the Council;

(I)    the identification of members of the Shareholder Advisory Group  ...  view the full minutes text for item 142.

That the application for the designation of a Thundridge Neighbourhood Area, submitted by Thundridge Parish Council, be supported.

The Leader of the Council submitted a report seeking approval for the designation of a neighbourhood area for Thundridge, as detailed on the plan attached to the report submitted. 

The Executive considered the application made by Thundridge Parish Council and the consultation undertaken.  The report submitted detailed the main areas of consideration in determining the application in accordance with Schedule 9 of the Localism Act 2011.

The Executive approved the recommendations now detailed.

RESOLVED – that the application for the designation of a Thundridge Neighbourhood Area, submitted by Thundridge Parish Council, be supported.