Decision details

Resolved

(1)          That the comprehensive piece of work undertaken including the utilisation of industry experts to assist in determining the optimum delivery model for delivering the Graven Hill vision set out in the report to the March 2014 Executive be noted.

(2)          That the powers being used to set up the company and provide funding as detailed in exempt Appendix 3 (exempt annex to the Minutes as set out in the Minute Book) be noted.

(3)          That the creation of companies (limited by shares) comprising Graven Hill Village Holding Company - wholly owned by the Council and Graven Hill Village Development Company – owned 99% by the Graven Hill Village Holding Company and 1% by the Council to own and deliver Graven Hill as set out in exempt Appendix 2 (exempt annex to the Minutes as set out in the Minute Book) be approved.

(4)          That the Company Boards be established as set out in exempt Appendix 2 (exempt annex to the Minutes as set out in the Minute Book).

(5)          That authority be delegated to the Director of Resources, in consultation with the Leader of the Council to identify and approve the appointment of four elected Members as Directors of one or both of the companies detailed in exempt Appendix 2 (exempt annex to the Minutes as set out in the Minute Book) and to appoint replacement elected Member Directors should any vacancies arise in the future.

(6)          That authority be delegated to the Director of Resources to invite three members of the Joint Management Team (JMT) to become Directors of one or both of the companies detailed in exempt Appendix 2 (exempt annex to the Minutes as set out in the Minute Book) and to approve and confirm their appointment to the roles and that such delegation should also extend to appointing replacement Officer Directors should any vacancies arise in the future.

(7)          That the protocol on dealing with conflicts of interest at exempt Appendix 5 (exempt annex to the Minutes as set out in the Minute Book) be adopted on behalf of the Council.

(8)          That  the establishment of a Partnering Board comprising the Company Directors, three elected members (to be nominated by the Director of Resources / Section 151 officer in consultation with the Leader of the Council), the section 151 officer and the Council’s Monitoring Officer be approved and it be noted this group would have responsibility for safeguarding the Council’s equity investment and lending to the Company by undertaking more detailed monitoring of the Business Plan and providing advice and recommendations to Executive. 

(9)          That the financial implications for the Council and Companies as detailed in exempt Appendix 6 (exempt annex to the Minutes as set out in the Minute Book) be noted.

(10)       That the draft business case for the companies detailed in exempt Appendix 2 (exempt annex to the Minutes as set out in the Minute Book) be approved and authority be delegated to the Director of Resources, in consultation with the Leader of the Council and the Lead Member for Financial Management, to complete final sign off of the business case as being compliant with legislation, due diligence and commercially sustainable.

(11)       That authority be delegated to the Director of Resources, in consultation with the Leader of the Council and the Lead Member for Financial Management, to approve the financing of acquisition and development costs through a mix of state aid compliant equity investment and loans (funded from prudential borrowing) in accordance with the Council`s Investment Strategy.

(12)       That authority be delegated to the Director of Resources, in consultation with the Lead Member for Financial Management to ensure that there is no adverse impact on the Council`s revenue budget during the initial years of the project when the company will not be generating profits and that the establishment of  the Graven Hill Equalisation Reserve which will be included in the 2013/14 out turn report at the Executive meeting on 23 June 2014 be noted.

(13)       That a simultaneous completion of the acquisition of Graven Hill and the onward sale to the Graven Hill Village Development Company be approved.

(14)       That authority be delegated to the Director of Resources, in consultation with the Head of Law and Governance / Monitoring Officer, to approve the articles of association of the companies.

(15)       That agreement be given to further work being undertaken by officers to develop a detailed implementation plan for pre-development and phase one delivery of Graven Hill including a communications strategy to be presented at the October 2014 meeting of the Executive.

(16)       That agreement be given to finance the balance of match funding of up to £697,000 related to the Capacity grant received from DCLG in 2014/15 in relation to the delivery of growth in Bicester as set out in Paragraph 7.4 of the report (annex to the Minutes as set out in the Minute Book).

(17)       That agreement be given to passport any grants received (e.g. capacity grant) obtained for pre-development costs or sales promotion at Graven Hill to the company if the grant provider agrees and subject to state aid compliance as detailed in Paragraph 7.5 of the report (annex to the Minutes as set out in the Minute Book).

(18)       That the amendments required to the Council`s Treasury Strategy as detailed in Paragraph 7.3 of the report (exempt annex to the Minutes as set out in the Minute Book) be noted.

(19)       That  the procurement of required consultants to continue to provide technical support and the pre-development work necessary to support the acquisition whilst the company is being incorporated be approved and it be noted all procurement would be in accordance with procurement rules and fully funded from the capacity funding.

(20)       That authority be delegated to the Director or Resources, in consultation with the Lead Member for Financial Management, to appoint any officer(s) or Member(s) to represent the Council’s interest as shareholder at general meetings of the Graven Hill Village Holding Company and the Graven Hill Village Development Company.