Cabinet 4 November 2019 Agenda Part 1 Only
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24 October 2019 CABINET – 4 NOVEMBER 2019 A meeting of Cabinet will be held at 6.00pm on Monday 4 November 2019 in the Council Chamber, Town Hall, Rugby. Adam Norburn Executive Director A G E N D A PART 1 – PUBLIC BUSINESS 1. Minutes. To confirm the minutes of the meeting held on 7 October 2019. 2. Apologies. To receive apologies for absence from the meeting. 3. Declarations of Interest. To receive declarations of – (a) non-pecuniary interests as defined by the Council’s Code of Conduct for Councillors; (b) pecuniary interests as defined by the Council’s Code of Conduct for Councillors; and (c) notice under Section 106 Local Government Finance Act 1992 – non-payment of Community Charge or Council Tax. Note: Members are reminded that they should declare the existence and nature of their interests at the commencement of the meeting (or as soon as the interest becomes apparent). If that interest is a prejudicial interest, the Member must withdraw from the room unless one of the exceptions applies. Membership of Warwickshire County Council or any Parish Council is classed as a non-pecuniary interest under the Code of Conduct. A Member does not need to declare this interest unless the Member chooses to speak on a matter relating to their membership. If the Member does not wish to speak on the matter, the Member may still vote on the matter without making a declaration. 4. Question Time. Notice of questions from the public should be delivered in writing, by fax or e-mail to the Executive Director at least three clear working days prior to the meeting (no later than Tuesday 29 October 2019). Growth and Investment Portfolio Nothing to report to this meeting. Corporate Resources Portfolio 5. Bell House – supplementary report. 6. Scrutiny Review of the Special Expenses Scheme. 7. Progress Update - General Fund Budget 2020/21. 8. Finance and Performance Monitoring 2019/20 – Quarter 2. 9. Housing Acquisitions Fund; PWLB rate rise impact on rent policy and progress update. Communities and Homes Portfolio 10. Voluntary and Community Sector contracts and Service Level Agreements. Environment and Public Realm Portfolio 11. Protection of Shakespeare Gardens with Fields in Trust. 12. Review Report: Public Spaces Protection Orders. 13. Light-touch review of parking at Queen’s Diamond Jubilee Centre– Update Report. The following item contains reports which are to be considered en bloc subject to any Portfolio Holder requesting discussion of an individual report Nothing to report to this meeting. 14. Motion to Exclude the Public under Section 100(A)(4) of the Local Government Act 1972. To consider the following resolution: “under Section 100(A)(4) of the Local Government Act 1972 the public be excluded from the meeting for the following item on the grounds that it involves the likely disclosure of information defined in paragraph 1 of Schedule 12A of the Act.” PART 2 – EXEMPT INFORMATION Growth and Investment Portfolio Nothing to report to this meeting. Corporate Resources Portfolio 1. Nomination for Civic Honour – Report of Civic Honours Working Party. Communities and Homes Portfolio Nothing to report to this meeting. Environment and Public Realm Portfolio Nothing to report to this meeting. The following item contains reports which are to be considered en bloc subject to any Portfolio Holder requesting discussion of an individual report Nothing to report to this meeting. Any additional papers for this meeting can be accessed via the website. The Reports of Officers (Ref. CAB 2019/20 – 5) are attached. Membership of Cabinet: Councillors Lowe (Chairman), Mrs Crane, Poole, Roberts, Ms Robbins and Mrs Simpson-Vince. CALL- IN PROCEDURES Publication of the decisions made at this meeting will normally be within three working days of the decision. Each decision will come into force at the expiry of five working days after its publication. This does not apply to decisions made to take immediate effect. Call-in procedures are set out in detail in Standing Order 15 of Part 3c of the Constitution. If you have any general queries with regard to this agenda please contact Claire Waleczek, Democratic Services Team Leader (01788 533524 or e-mail [email protected]). Any specific queries concerning reports should be directed to the listed contact officer. If you wish to attend the meeting and have any special requirements for access please contact the Democratic Services Officer named above. Agenda No 5 AGENDA MANAGEMENT SHEET Report Title: Bell House - Supplementary Report Name of Committee: Cabinet Date of Meeting: 4 November 2019 Report Director: Head of Corporate Resources and CFO Portfolio: Corporate Resources Ward Relevance: New Bilton Prior Consultation: Head of Communities and Homes, Head of Corporate Resources and CFO Contact Officer: Paul Rimen (Construction Project Manager), 01788 533620, [email protected] Public or Private: Public Report Subject to Call-In: No Report En-Bloc: No Forward Plan: No Corporate Priorities: This report relates to the following priority(ies): □ To provide excellent, value for money (CR) Corporate Resources services and sustainable growth (CH) Communities and Homes □ Achieve financial self-sufficiency by 2020 (EPR) Environment and Public □ Enable our residents to live healthy, Realm independent lives (GI) Growth and Investment □ Optimise income and identify new revenue opportunities (CR) ~ Prioritise use of resources to meet changing customer needs and demands (CR) □ Ensure that the council works efficiently and effectively (CR) ~ Ensure residents have a home that works for them and is affordable (CH) □ Deliver digitally-enabled services that residents can access (CH) □ Understand our communities and enable people to take an active part in them (CH) □ Enhance our local, open spaces to make them places where people want to be (EPR) □ Continue to improve the efficiency of our waste and recycling services (EPR) □ Protect the public (EPR) □ Promote sustainable growth and economic prosperity (GI) □ Promote and grow Rugby’s visitor economy with our partners (GI) □ Encourage healthy and active lifestyles to improve wellbeing within the borough (GI) □ This report does not specifically relate to any Council priorities but Statutory/Policy Background: Not Applicable. Summary: Financial Implications: An additional £636,560.00 be allocated to the existing HRA capital budget (£1,377,290) increasing the total allocation to £2,013,850; to be met from HRA capital resources and a Homes England grant (or Right to Buy receipts). Utilising the Homes England grant the revised scheme produces a positive return on capital employed of £480,450 over the HRA business plan term of 30 years. Risk Management Implications: The project will be undertaken with associated risk assessments and risk registers in place. Environmental Implications: The new building will be constructed to current insulation and sustainability standards. Legal Implications: There are no legal implications for this report. Equality and Diversity: There are no equality and diversity implications for this report. Options: There are three options available to the Council in respect of Bell House: 1. Continue with the existing approved budget. 2. Increase the budget allocation to reflect the current building costs. 3. Cancel the development. Recommendation: IT BE RECOMMENDED TO COUNCIL THAT - 1. the existing budget allocation is increased to reflect the current construction costs (Option 2); 2. the existing HRA capital budget for the redevelopment of Bell House is increased from £1,377,290 to £2,013,850; to be met from HRA capital resources and a Homes England grant or Right to Buy receipts. 2 3. delegated authority be given to the Executive Director to agree Homes England grant terms (the grant will reduce capital outlay). Reasons for Recommendation: 1. The 18 apartment redevelopment scheme, which cannot reasonably proceed without the increase in funding; will provide quality homes, to help meet the increasing housing needs of the borough, including the potential to utilise a limited number as 1 bed temporary accommodation; with grant support from Homes England. 2. The increased level of funding continues to provide a positive NPV return on capital employed. 3. Homes England have confirmed funding of £686,667 for the revised scheme cost (Right to Buy receipts could only be used to fund 30%). 3 Agenda No 5 Cabinet - 4 November 2019 Bell House - Supplementary Report Public Report of the Head of Corporate Resources and CFO Recommendation IT BE RECOMMENDED TO COUNCIL THAT - 1. the existing budget allocation is increased to reflect the current construction costs (Option 2); 2. the existing HRA capital budget for the redevelopment of Bell House is increased from £1,377,290 to £2,013,850; to be met from HRA capital resources and a Homes England grant (or Right to Buy receipts); and 3. delegated authority be given to the Executive Director to agree Homes England grant terms (the grant will reduce capital outlay). 1. Introduction In June 2016, Cabinet approved the acquisition of the Bell House site from its then owner, Home Group, for not more than £150,000. The site was derelict and had been problematic for several years. The resulting sale, to the council, was completed in June 2017. In April 2018, Cabinet approved the redevelopment of the whole Bell House site and its transfer from the General Fund to the HRA. The development was envisaged to be 9 No 1 bed 2-person apartments and 9 No 2 bed 3-person apartments with associated parking and communal garden. The estimated development cost was £1,570,000. Following the approval an architect was commissioned to develop the outline design into a deliverable RIBA (Stage 2) Concept Design. The detail of the design changed during the planning pre-consultation stage and will now deliver 13 No 1 bed 2 person apartments and 5 No 2 bed 3 person apartments. These changes arose in part from the changing housing need and as a result of the planning consultation process (location, size and scale of the building and the orientation of the apartments within).