Agenda and draft minutes

Strategic Investment Board - Tuesday, 23 March 2021 10.00 am

Venue: MS Teams, Remote Meeting

Contact: Huma Younis, Committee Manager  Email: huma.younis@surreycc.gov.uk

Items
No. Item

15/21

Apologies for Absence

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    To note any apologies for absence.

    Minutes:

    Apologies for absence were received from Mr Colin Kemp.

16/21

Minutes of the Previous Meeting pdf icon PDF 189 KB

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    To approve the minutes of the meeting held on 16 February 2021.

    Minutes:

    The minutes of the previous meeting were agreed as a correct record.

17/21

Declarations of Interest

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    All Members present are required to declare, at this point in the meeting or as soon as possible thereafter

    (i)            Any disclosable pecuniary interests and / or

    (ii)           Other interests arising under the Code of Conduct in respect of any item(s) of business being considered at this meeting

    NOTES:

    • Members are reminded that they must not participate in any item where they have a disclosable pecuniary interest
    • As well as an interest of the Member, this includes any interest, of which the Member is aware, that relates to the Member’s spouse or civil partner (or any person with whom the Member is living as a spouse or civil partner)
    • Members with a significant personal interest may participate in the discussion and vote on that matter unless that interest could be reasonably regarded as prejudicial.

     

    Minutes:

    There were none.

18/21

Questions and Petitions

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    To receive any questions or petitions.

    Minutes:

    There were none.

19/21

Exclusion of the Public

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    That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting during consideration of the following items of business on the grounds that they involve the likely disclosure of exempt information under the relevant paragraphs of Part 1 of Schedule 12A of the Act.

     

    Minutes:

    RESOLVED: That under Section 100(A) of the Local Government Act 1972, the public be excluded from the meeting during conversation of the following items of business on the grounds that they involve the likely disclosure of exempt information under paragraph 3 of Part 1 of Schedule 12A of the Act.

20/21

Places for People- Update Report

    This Part 2 annex contains information which is exempt from Access to Information requirements by virtue of paragraph 3 Information relating to the financial or business affairs of any particular person (including commercially sensitive information to the bidding companies).

     

    [The decisions on this item can be called in by the Resources & Performance Select Committee]

    Additional documents:

    Minutes:

    This Part 2 annex contains information which is exempt from Access to Information requirements by virtue of paragraph 3 Information relating to the financial or business affairs of any particular person (including commercially sensitive information to the bidding companies).

     

    [The decisions on this item can be called in by the Resources & Performance Select Committee]

     

    RESOLVED:

    1.    That the termination and winding up of the Joint Venture Limited Liability Partnership South Ridge Development and by association the wider relationship with Places for People is approved.

    2.    That a compensatory payment of [E-5-21] by the end of March 2021 to South Ridge Development LLP as a full and final payment to cover actual realised losses incurred in undertaking company business is approved.

    3.    That revenue payments of parties legal and Insolvency Practitioner costs of up to circa [E-5-21] and [E-5-21] contingency is approved.

    Reason for Decision:

    By agreeing to the payment of [E-5-21] the Council will also obtain assignment of all due diligence and reports undertaken by South Ridge Development LLP.

    These reports, contractor specifications etc would have had to have been undertaken by the Council and correspondingly incurred financial costs for doing so.

    Places for People (PFP) are now prepared to settle within this financial year for actual incurred losses by the JV LLP and this provides a saving of over [E-5-21] being paid against their original contract compensation amount requested of [E-5-21] being made up of both actual losses and future non realised losses.

    Based on external legal advice the amount of [E-5-21] is likely to be the best financial outcome for the Council.

    The majority of the payment will be able to be capitalised due to the nature of the payments relating to Direct Losses and the payment covering all reports, surveys and procurement activities including the JV’s OJEU Procurement framework.

    The revenue costs are not expected to exceed [E-5-21]. There are some revenue costs that remain to be finalised – PFP legal costs to date of circa [E-5-21] and a further circa [E-5-21] of the Council paying the costs of the Insolvency Practitioner in winding up the JV LLP.

    The capital cost of the settlement would have been incurred in the main as part of self-delivery of the sites. The continued revenue income delivered from the long-term lease-hold sale to Halsey Garton Residential Ltd are projected to deliver an acceptable return on investment.

     

21/21

Publicity for Part 2 Items

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    To consider whether the item considered under Part 2 of the agenda should be made available to the Press and public.