Agenda and minutes

(Enclosure)

Before the meeting commenced two minutes silence was held to remember and commemorate 100 years since the beginning of World War 1

The decisions from the meeting held on 2nd June 2014 were confirmed as a correct record.

None disclosed.

Councillor Bryant confirmed he had no disclosable pecuniary interest relating to CO14 but confirmed that he had previously worked for Park Air Limited.

Report PD019 from the Property Development Manager

(Enclosure)

Decision:

1)              Cabinet notes the progress made on developing the scheme and changes made to the component parts of the scheme from those presented in report PD015 and agrees to progress the scheme on this basis within the capital costs highlighted.

2)              Cabinet recommends to Council an allocation in the capital programme for this scheme of £4.9M from the £6.1M currently allocated to “Town Centre Projects – St Peter’s Hill Development” for the period 2014/15 – 2016/17.

Considerations/reasons for decision:

1)              Report PD019 from the Property Development Manager.

2)              Modelling work undertaken to confirm viability of project to include a Business Incubation Centre.

3)              Findings indicating space too small for an efficient BIC facility.

4)              Soft marketing carried out indicating interest in an A3 element to the 1st floor of the cinema offer with potential for an increase in rental levels.

5)              Revised scheme including an A3 offer and units on the 1st floor.

6)              East Midlands Property Alliance framework contractor overall project costs including inflationary costs for materials and labour reflecting the current market.

7)              Scheme viability enhanced by removal of costs associated with an additional floor to accommodate the BIC together with the increased income potential for A3 space on the first floor.

8)              Comments made by the Portfolio Holder Grow the Economy and Economic Development.

Other options considered

·       Design and build with contractors design via OJEU compliant procurement process.

·       Traditional design package commissioned by SKDC and bill of quantities for contractors to competitively price via OJEU compliant procurement process.

The above option would add between 3 to 6 months to the overall timeline before construction commenced on site and have therefore been discounted at this stage.

Report DM001 from the Deployment Manager

(Enclosure)

Decision:

1)              Cabinet approves the commencement of a procurement process for the customer relationship, document management, website and intranet systems as detailed in report DM001.

2)              The decision to award subsequent contracts following the completion of procurement processes to be delegated to the Portfolio Holder for Governance and Communication through the non-key decision process.

Considerations/reasons for decision:

1)              Report DM001 from the Deployment Manager.

2)              Investment was required in a range of contact and communication systems to deliver the Customer Access Strategy ambitions and become a more flexible organisation.

3)              Replacement and standardisation of existing systems would provide a platform to deliver an enhanced and more sustainable customer offer across the wide range of services delivered by the Council.

4)              The introduction of a new Customer Relationship Management System would enable a single view of customers and would facilitate and increase transactions that could be completed online.

5)              An improved website would help with increasing online interactions.

6)              A document management system would reduce space, ongoing support charges and enable both customers and employees to securely access documents on line.

7)              Funding for the project implementation would be resourced from the Housing Revenue Account and the General Fund to support the transformation and improvement services.

8)              The return on investment would be over a three year period.

9)              Comments and amendments made by the Portfolio Holder Governance and Communications to the recommendations.

10)           Comments made by other Members at the meeting.

Other Options considered:

1)              The authority could remain as it was, utilising existing technologies and delivering services via the existing website, telephone and in a face to face environment. Savings could be generated through vacancy management, however this would not provide opportunities to enhance the Council’s service offer to people who had the ability and expectation to be able to transact in a place and at times which were convenient to them.

2)              A further option available to the organisation was to invest in a CRM and website only. This would see the Council investing in a replacement CRM solution, but not rationalising its ICT systems and hardware in relation to document management or improving the quality of its website. This option would improve access to services online however the opportunity to generate the full benefits of a flexible workforce and a reduced property footprint would not be available.

Report PLA1063 from the Planning Policy & Partnerships Service Manager

(Enclosure)

Decision:

Cabinet approves the Statement of Community Involvement (SCI) as attached to report PLA1063 for the purposes of public consultation.

Considerations/reasons for decision:

1)              Report PLA1063 from the Planning Policy & Partnerships Service Manager.

2)              The Council had a statutory duty to prepare an SCI in accordance with the Planning and Compulsory Purchase Act 2004 (as amended).

3)              Costs associated with the SCI would be met from in year budgets and incorporated into future service budgets as appropriate.

4)              Changes to the planning system, particularly plan making, legislation and regulations needed to be taken account of in a revised SCI.  

5)              The Councils approach to consultation needed to be robust.

6)              Comments made by the Portfolio Holder for Grow the Economy and Economic Development on the clear, simple and easy to read format of the document.

Other options considered:

To continue to use the existing document and not review and update the current SCI, however, the existing SCI did not reflect current requirements set out in legislation or regulations.

Report PD020 from the Property Development Manager.

(To follow)

Decision:

1)          Authority is given by Cabinet to progress the scheme to provide the extension to the existing premises at Northfields Industrial Estate, Market Deeping let to Park Air Systems Ltd within the capital costs highlighted within report PD020.

2)          Cabinet recommends to Council that up to £495,000 is allocated in the Capital Programme for 2014/15 - 2016/17 to be invested in the extension to the Premises at Northfields Industrial Estate, Market Deeping let to Park Air Systems Ltd.

Considerations/reasons for decision:

1)              Report PD020 from the Property Development Manager.

2)              Park Air Systems Ltd had requested the Council to procure additional space by way of an extension for the provision of a training facility.

3)              The extension would be located to the front of the existing site and was expected to give a gross internal area of 300m².

4)              The development secured further investment in the local economy and retained Park Air Systems Ltd as a tenant ensuring the business remained a key contributor to the local economy.

5)              Comments made by the Head of Legal & Democratic Services stating that the procurement route specified was within the Council’s Contract Procedure Rules framework and did not require an exemption form as stated within the report.

6)              Comments made by Members at the meeting welcoming the project.

Other options considered:

1)          A similar amount of money could be invested in the development for example of small starter units elsewhere. But clearly there would be a need for a site acquisition and the investment would not be as secure due to the variable nature of the tenant base. Management costs would be higher and erode income as well. 

2)          Alternatively SKDC could dispose of the Freehold investment in the property and leave it to the private sector to procure. Whilst this would deliver a large capital receipt, the loss of revenue income is significant. PAS is however an excellent covenant but at present the unexpired lease term is very short and may deter investors despite the appetite to extend.

3)              The site is already used for industry and is demised to PAS on an existing lease so there is no alterative scope for development at this time. 

The Portfolio Holder for Good Housing referred to the following Non Key Decision he had taken:

Exclusion of New Council Housing from the Requirement to Surrender Part of the Capital Receipt to the Government should the Property be Sold Under Right to Buy

Decision taken on 31st July 2014:

That the application for exemption in respect of 33 new build properties is approved.

The decision and reasons can be found by following the link below:

http://moderngov.southkesteven.gov.uk/ieDecisionDetails.aspx?ID=796

Decisions CO13 and CO14 as made on 4th August 2014 can be implemented on Wednesday 13th August 2014, unless subject to call-in by the Scrutiny Committee Chairman or any five members of the Council from any political group.

Decisions CO12 and CO15 stand referred to Council on 11th September 2014.