Issue - meetings

** Please note that this report will follow as it is currently being reviewed and finalised **

Report of the Shareholder Representative

Resolved

(1)          That it be approved in principle that the Council act as surety forGraven Hill Development Company (Dev Co) in respect of a performance bond (up to the sum referred to in the exempt Annex to the Minutes, as set out in the Minute Book) relating to the construction of highway works by Dev Co on land at A41 Pioneer Roundabout pursuant to an agreement between Dev Co and Oxfordshire County Council (as local highway authority) to be made under section 278 of the Highways Act 1980.

(2)          That authority be delegated to the Shareholder Representative to negotiate and agree the formal documentation in relation to that bond, in consultation with the s.151 Officer and the Monitoring Officer (or, in the event they are conflicted, their nominated deputies).

(3)          That it be agreed that Graven Hill Development Company (Dev Co) be requested to pay to the council 1% of the value of the agreed bond for use of the facility.

The Shareholder Representative submitted a report To bring to the attention of the Executive the request from Graven Hill Village Development Company Ltd (Dev Co) for the Council to act as surety in a performance bond for highway works to be undertaken by Dev Co under section 278 of the Highways Act 1980, and for the Executive to agree in principle to that request and to delegate to the Shareholder Representative authority to negotiate and agree the formal documentation in relation to that performance bond, in consultation with the s.151 Officer and the Monitoring Officer.

In response to Members’ questions, the Director of Finance advised that a bond was show in the council’s accounts in a similar way to a guarantee with no financial transaction. The Director of Finance confirmed that the bond would be in place until the work was complete and was not open ended.

Resolved

(1)          That it be approved in principle that the Council act as surety forGraven Hill Development Company (Dev Co) in respect of a performance bond (up to the sum referred to in the exempt Annex to the Minutes, as set out in the Minute Book) relating to the construction of highway works by Dev Co on land at A41 Pioneer Roundabout pursuant to an agreement between Dev Co and Oxfordshire County Council (as local highway authority) to be made under section 278 of the Highways Act 1980.

(2)          That authority be delegated to the Shareholder Representative to negotiate and agree the formal documentation in relation to that bond, in consultation with the s.151 Officer and the Monitoring Officer (or, in the event they are conflicted, their nominated deputies).

(3)          That it be agreed that Graven Hill Development Company (Dev Co) be requested to pay to the council 1% of the value of the agreed bond for use of the facility.

Reasons

Through agreeing with the recommendations in this report the council is ensuring that Dev Co can act swiftly to meet its aims and delivery objectives in relation to the works at the A41 Pioneer Roundabout and in doing so safeguard the council’s investment and return on investment.

Alternative options

None applicable