Issue - meetings

Report of Director of Resources and Commercial Director (Bicester)

Purpose of report

To update members on the work being undertaken by the Graven Hill Development Company in delivering the large scale self build project and to present the 2015/16 business plan and financial forecast as per the Council`s governance and financing requirements for this investment.

Recommendations

The meeting is recommended to:

1.1         Note the significant progress being carried out by the Graven Hill Development Company as set out in Appendix 1.

1.2         Approve the 2015/16 Business Plan and objectives as set out in Appendix 1.

1.3         Approve the updated Financial Forecast as set out in Appendix 2 and ask officers to reflect the changes from the baseline model into Council financial forecasts and funding plans.

1.4         Approve the membership of the Partnering Board in Para 3.16. This group 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. 

1.5       Consider the addition of a member of the Overview and Scrutiny Committee to the membership of the Partnering Board as set out in paragraph 3.17 such member, if approved, to be appointed to the Board by the Overview and Scrutiny Committee at its next meeting.

Resolved

(1)          That the significant progress being carried out by the Graven Hill Development Company be noted.

(2)          That the 2015/16 Business Plan and objectives be approved.

(3)          That the updated Financial Forecast (exempt annex to the Minutes as set out in the Minute Book) be approved and officers asked to reflect the changes from the baseline model into Council financial forecasts and funding plans.

(4)          That, subject to resolution (6) below, the membership of the Partnering Board be approved as follows: 5 Elected Members -  Leader of the Council, Lead Member for Financial Management, Lead Member for Housing, Lead Member for Estates and the Economy and the Leader of the Opposition group and the Council’s S 151 Officer and the Monitoring Officer.

(5)          That it be noted that the Partnership Board has 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. 

(6)          That the addition of a member of the Overview and Scrutiny Committee to the membership of the Partnering Board be approved and that the Overview and Scrutiny Committee be requested to appoint a member to the Board at its next meeting.

The Director of Resources and Commercial Director (Bicester) submitted a report to update members on the work being undertaken by the Graven Hill Development Company in delivering the large scale self build project and to present the 2015/16 business plan and financial forecast as per the Council`s governance and financing requirements for this investment.

Resolved

(1)          That the significant progress being carried out by the Graven Hill Development Company be noted.

(2)          That the 2015/16 Business Plan and objectives be approved.

(3)          That the updated Financial Forecast (exempt annex to the Minutes as set out in the Minute Book) be approved and officers asked to reflect the changes from the baseline model into Council financial forecasts and funding plans.

(4)          That, subject to resolution (6) below, the membership of the Partnering Board be approved as follows: 5 Elected Members -  Leader of the Council, Lead Member for Financial Management, Lead Member for Housing, Lead Member for Estates and the Economy and the Leader of the Opposition group and the Council’s S 151 Officer and the Monitoring Officer.

(5)          That it be noted that the Partnership Board has 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. 

(6)          That the addition of a member of the Overview and Scrutiny Committee to the membership of the Partnering Board be approved and that the Overview and Scrutiny Committee be requested to appoint a member to the Board at its next meeting.

Reasons

As at 24 August 2015 (latest Board Meeting) the work programme for Graven Hill is on track in terms of current programme, budget and risk management.

This is a significant investment for the Council and one that is innovative and delivers many positive benefits to the District. It is therefore imperative that the strong governance that has been put place continues to actively manage the work programme, budgets, risks and mitigations.

The Partnering Board has as per the governance arrangements actively managed and monitored the delivery of the initial work programme and financial appraisal of the development company. The vision document and updated financial appraisal has been reviewed in detail and is presented to the Executive for ratification.

The Executive will receive an update in Q4 on progress against the targets.

Alternative options

There is an option to ask for a further review of the vision document and financial forecast.