Meeting documents

The Cabinet were presented with a report seeking approval for the business case for setting up a local authority trading company, focusing on Property Development and Management and agreement to the setting up of this company.

The Cabinet supported the recommendations in the report and accordingly

RESOLVED that

1)      the business case, as detailed in Appendix A, for setting up a local authority trading company, focusing on Property Development and Management be approved.

2)      the establishment of a local authority trading company to allow the Council to exercise the power to trade contained in the Local Government Act 2003 and the Localism Act 2011 to facilitate income generation based on the Articles of Association detailed in Appendix B be approved.  The Director of Resources to have the delegated authority to agree the final version of these.

3)      the Chief Executive and the Director of Services be appointed as Company Directors.

4)      the following SBDC delegations be approved:

- The Director of Resources to have the authority to make secured loans to the trading company, up to the limits in the approved Company Business Plan.

- The Director of Resources to have the authority to make unsecured working capital loans to the trading company, up to the limits in the approved Company Business Plan.

- The Director of Resources to have the authority, following consultation with the Leader, to use any sums specifically set aside in the Council’s Capital programme to purchase assets on receipt of a viable outline business case.

       5)  the matters set out in this report relating to the issue of affordable housing 

            be noted, and that authority be delegated to the Director of Resources, in

            consultation with the Leader, to establish suitable arrangements to address 

             those points.

6)      authority be delegated to the Director of Resources to undertake any further actions to give effect to the contents of this report, in consultation with the Leader.

And further