Issue - meetings

Help to Own

Meeting: 08/09/2021 - Cabinet (Item 8)

8 Help to Own Scheme Update and Governance pdf icon PDF 168 KB

[To receive an update on the Help to Own scheme and on a proposed governance structure and approvals process][Report to follow]

Additional documents:

Decision:

1.     That the governance structure and approvals process identified in the report be approved. Key decisions, as listed, would be reported to Cabinet for approval. Other operational decisions as noted are delegated to the Director of Finance and the Chief Operating Officer acting on behalf of the Council as a member of the Help to Own partnerships, and otherwise to the appointees to the scheme Management Board.

 

2.     That the minor amendments to correct and clarify certain of the transaction documents signed on 16 April 2021 to establish the scheme and delegation to the Director of Finance and Chief Operating Officer of authority to approve on behalf of the Council as a member of HTO2 LLP be approved.

 

3.     That it be noted that this is the first six monthly update on the scheme and shows a strong initial performance with 352 applications for the 100 houses. Of these 70 have been approved to date, 50.%  from key workers and 61% from Wolverhampton residents.

 

4.     That it be noted that the first 23 houses are expected to be delivered and occupied in September with the balance delivered in tranches over the following 6 months. Loans would be drawn down from the facility with the West Midlands Pension Fund (WMPF) to fund the purchase of each tranche.

Minutes:

The intention to make a key decision on the report ‘Help to Own Scheme Update and Governance’ at the meeting was not published in advance as required by the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012.  The decision was urgent and could not be reasonably delayed for the following reasons:

 

·       The Governance structure and approvals process for the scheme has been drawn up and requires urgent approval to ensure proper management control and governance of the Help to Own Scheme.

 

·       Variations need to be made to correct and clarify legal documentation prepared for the establishment of the scheme to ensure all contracts are correctly drawn up.

 

In light of the above, consent had been obtained for the key decision to be made at the meeting under the General Exception provisions.

 

The recommendations contained in the report, Help to Own Scheme Update and Governance, were moved by Councillor Ian Brookfield and seconded by Councillor Stephen Simkins.

 

Councillor Bhupinder Gakhal reported on the salient points of the update report on the high level of interest in the Help to Own scheme since its launch in April 2021, and on a proposed governance structure and approvals process for the scheme.  Help to Own was a new affordable housing product being delivered in partnership with the West Midlands Combined Authority, which provided a rental solution to local residents that gave long term tenure security, the benefits of home ownership without the risks and complete flexibility to leave whenever the tenant wished.

 

Cabinet commended the scheme as a great example of the Council working with external partners to address the housing demand in the city and help local people to get onto the property ladder.  Thanks were extended to the Mayor of the West Midlands Combined Authority, Andy Street for his support to the scheme.

 

Resolved:

1.    That the governance structure and approvals process identified in the report be approved. Key decisions, as listed, would be reported to Cabinet for approval. Other operational decisions as noted are delegated to the Director of Finance and the Chief Operating Officer acting on behalf of the Council as a member of the Help to Own partnerships, and otherwise to the appointees to the scheme Management Board.

 

2.    That the minor amendments to correct and clarify certain of the transaction documents signed on 16 April 2021 to establish the scheme and delegation to the Director of Finance and Chief Operating Officer of authority to approve on behalf of the Council as a member of HTO2 LLP be approved.

 

3.    That it be noted that this is the first six monthly update on the scheme and shows a strong initial performance with 352 applications for the 100 houses. Of these 70 have been approved to date, 50.%  from key workers and 61% from Wolverhampton residents.

 

4.    That it be noted that the first 23 houses are expected to be delivered and occupied in September with the balance delivered in tranches over the following 6 months.  ...  view the full minutes text for item 8