Agenda, decisions and draft minutes

Joint Cabinet and, Cabinet (Resources) Panel
Tuesday, 23rd June, 2020 5.30 pm

Venue: Online

Contact: Dereck Francis, Democratic Services  01902 555835 or Email: dereck.francis@wolverhampton.gov.uk

Note: Please note this meeting will be conducted in line with the The Local Authorities and Police and Crime Panels (Coronavirus) (Flexibility of Local Authority and Police and Crime Panel Meetings) (England and Wales) Regulations 2020. 

Media

Items
No. Item

1.

Apologies for absence

Minutes:

No apologies for absence were received for the meeting.

2.

Declarations of interest

Minutes:

Mark Taylor declared a non-pecuniary interest in items 6a, 11 and 12 insofar as he is a Director on WV Living.

 

Councillors Jacqueline Sweetman and Louise Miles both declared non- pecuniary interests in the same items insofar as they are members on WV Living Shareholders Board.

3.

Minutes of the previous meeting - 3 March 2020 pdf icon PDF 340 KB

[To approve the minutes of the previous meeting as a correct record.]

Minutes:

Resolved:

That the minutes of the previous meeting of the Cabinet (Resources) Panel held on 3 March 2020 be approved as a correct record and signed by the Chair.

4.

Matters arising

[To consider any matters arising from the minutes.]

Minutes:

There were no matters arising from the minutes of the previous meeting of the Cabinet (Resources) Panel.

5.

Better Homes for All: Small Sites Newbuild Council Housing pdf icon PDF 173 KB

[To approve the delivery of newbuild council housing across former garage sites and small infill pockets of land across the City]

Additional documents:

Decision:

1.      That development totalling £8.0 million as part of the Housing Revenue Account (HRA) capital programme for Small Sites for the delivery of the small site council housing newbuild programme providing an additional 56 homes across 16 sites in the City be approved.

 

2.      That authority be delegated to the Cabinet Member for City Assets and Housing in consultation with the Director of City Environment to approve any variation from the identified sites for Phase Five of the small sites new build programme.

 

3.      That surplus areas of land fronting Park View Road former garage site, Bilston North be declared surplus to improve the access and appearance of the site.

 

4.      That authority be delegated to the Cabinet Member for City Assets and Housing, in consultation with the Director of City Environment, to approve the award of a contract for the works required to construct several traditional build homes on various site across Wolverhampton City when the tender evaluation process is completed.

 

5.      That authority be delegate to the Cabinet Member for City Assets and Housing in consultation with the Director of City Environment and the Director of Finance, to approve agreements including deed of covenants, wayleave and easement agreements, collateral warrantees, assignments and other such ancillary agreements, including capital variations as may be deemed necessary to facilitate the developments.

 

6.      That the success to date of the small sites newbuild Council Housing programme, which is currently delivering 39 new homes across the City through J. Harper & Sons (Leominster) be noted.

 

Minutes:

Councillor Jacqueline Sweetman presented the report on an update on the delivery of phase four of the small sites newbuild council housing programme. Following the success of the first four phases of the programme, and in light for the need to increase council housing delivery across the City, approval was sought for an additional 56 properties across 16 sites to support the continued delivery of the programme. In support of the next phase of the programme, approval was requested for delivery of schemes within an approved Housing Revenue Account (HRA) capital programme budget of £8.0 million.

Members of Cabinet welcomed the commitment of the Council to move on small sites for development which would free them from anti-social behaviour. It was suggested that the small sites would not be of interest to the large developers. In order to encourage local skills development and local jobs, the Council should do what was permissible within the tendering process to make sure the small sites are available for local builders. It was also requested that when the site in Bilston North Ward is developed that the condition of the road surface be addressed.

 

Resolved:

1.     That development totalling £8.0 million as part of the Housing Revenue Account (HRA) capital programme for Small Sites for the delivery of the small site council housing newbuild programme providing an additional 56 homes across 16 sites in the City be approved.

 

2.     That authority be delegated to the Cabinet Member for City Assets and Housing in consultation with the Director of City Environment to approve any variation from the identified sites for Phase Five of the small sites new build programme.

 

3.     That surplus areas of land fronting Park View Road former garage site, Bilston North be declared surplus to improve the access and appearance of the site.

 

4.     That authority be delegated to the Cabinet Member for City Assets and Housing, in consultation with the Director of City Environment, to approve the award of a contract for the works required to construct several traditional build homes on various site across Wolverhampton City when the tender evaluation process is completed.

 

5.     That authority be delegate to the Cabinet Member for City Assets and Housing in consultation with the Director of City Environment and the Director of Finance, to approve agreements including deed of covenants, wayleave and easement agreements, collateral warrantees, assignments and other such ancillary agreements, including capital variations as may be deemed necessary to facilitate the developments.

 

6.     That the success to date of the small sites newbuild Council Housing programme, which is currently delivering 39 new homes across the City through J. Harper & Sons (Leominster) be noted.

 

6.

Schedule of Individual Executive Decision Notices pdf icon PDF 319 KB

[To note the summary of open and exempt decision notices approved by cabinet members in consultation with employees]

Decision:

That the summary of open and exempt individual executive decisions approved by the appropriate Cabinet Members following consultation with the relevant employees be noted.

Minutes:

Resolved:

That the summary of open and exempt individual executive decisions approved by the appropriate Cabinet Members following consultation with the relevant employees be noted.

7.

Covid-19 - Impact on the Capital Programme pdf icon PDF 260 KB

[To consider capital budget implications arising from the global pandemic]

Decision:

That Council be recommended to:

1.      Note that the Covid-19 pandemic has had a damaging impact on capital projects, internationally, across the UK and in the city, leading to cost pressures associated with new ‘social distanced’ operating models, materials and how they are sourced. Major development projects such as the Civic Halls and WV Living sites have been affected by this global issue.

2.      Approve budgetary provision for specific risks emerging from the Covid-19 global pandemic in relation to the Civic Halls project, that cannot be contained within the contingencies already provided for within the existing budget.

3.      Delegate authority to the Cabinet Member for City Economy in consultation with the Director for Regeneration, to approval the award of the construction contract for the Civic Halls restoration project, to Willmott Dixon Interiors Ltd of Lock House, Castle Meadow Road, Nottingham, NG2 1AG for a total contract value of £X.

4.      That, due to the impact of Covid-19, a capital repayment holiday is provided to WV Living.

5.      That, due to the impact of Covid-19, equity of £X million is provided to WV Living once evidence has been provided to satisfy the Director of Finance and the Director of Governance that the investment would comply with the relevant rules.

6.      Delegate authority to the Cabinet Member for Resources, in consultation with the Director of Finance to approve the final terms of the capital repayment holiday and the equity provision.

7.      Delegate authority to the Director of Governance to execute the necessary agreements to give effect to the decisions made.

 

Minutes:

The Chair announced that this item had been included on the agenda in the public section to be transparent on the important issues of the costs of Covid-19 on the Council’s Capital Programme, as it had impacted on capital projects across the world as well as nationally and regionally. The detailed figures would need to be covered in private session as these included key financial information that if included could prejudice the Council’s or its partners financial position. If for example the actual budget provision was disclosed in relation to Covid-19 costs that would prejudice the Council's ability to seek to reduce those Covid-19 costs to their bare minimum.

 

Councillor Louise Miles presented the open session report on the true cost and impact on the Council's finances of the Covid-19 pandemic. Two of the Council’s projects had been identified as experiencing difficulties purely as a result of Covid-19.  The first of those was the Civic Halls which is a very important project for the City.  Immediately prior to the Covid pandemic it was on target and on budget. Unfortunately, it had been impacted on because of delays in construction work as a result of Covid-19 safety measures that would have to be introduced for construction workers. WV Living found itself in a similar position with projected delays in construction but also because of a drop in the housing market. It was proposed to continue the Council’s support for the projects.  The exempt report on the private session on the agenda outlined in more detail how it was proposed to continue the Council’s support.  The immediate step was to stabilise the position on the projects.

 

Members of Cabinet commented reiterated that Civic Halls remained a key priority for the Council and would play a major role in the City’s economic recovery. They also noted that WV Living had successfully built and sold houses over a period of years and were projecting a profit on current committed schemes. It was is therefore clear it was a viable and sustainable business and was delivering much needed properties and meeting all of its obligations to the Council.

 

Resolved:

That Council be recommended to:

1.    Note that the Covid-19 pandemic has had a damaging impact on capital projects, internationally, across the UK and in the city, leading to cost pressures associated with new ‘social distanced’ operating models, materials and how they are sourced. Major development projects such as the Civic Halls and WV Living sites have been affected by this global issue.

2.    Approve budgetary provision for specific risks emerging from the Covid-19 global pandemic in relation to the Civic Halls project, that cannot be contained within the contingencies already provided for within the existing budget.

3.    Delegate authority to the Cabinet Member for City Economy in consultation with the Director for Regeneration, to approval the award of the construction contract for the Civic Halls restoration project, to Willmott Dixon Interiors Ltd of Lock House, Castle Meadow Road, Nottingham, NG2 1AG for a total  ...  view the full minutes text for item 7.

8.

Exclusion of press and public

[To pass the following resolution:

 

That in accordance with Section 100A(4) of the Local Government Act 1972 the press and public be excluded from the meeting for the following items of business as they involve the likely disclosure of exempt information on the grounds shown below.]

Decision:

That in accordance with Section 100A(4) of the Local Government Act 1972 the press and public be excluded from the meeting for the following items of business as they involve the likely disclosure of exempt information relating to the financial or business affairs of any particular person (including the authority holding that information).

Minutes:

Resolved:

That in accordance with Section 100A(4) of the Local Government Act 1972 the press and public be excluded from the meeting for the following items of business as they involve the likely disclosure of exempt information relating to the financial or business affairs of any particular person (including the authority holding that information).

 

[The Chair announced that the meeting was now in private session.  As stated previously the meeting was in confidential session as the information included in the reports could, if released into the public domain, prejudice the financial position of the Council or its partners.  As such all present are under a legal duty of confidentiality and must not disclose any confidential information. To do so would not only be a breach of the Council's code (for councillors and employees) but also a breach of the legal duty of confidentiality]

 

 

9.

23 June 2020 Procurement - Award of Contracts for Works, Goods and Services

[To approve the award of contract for works, goods and services]

Decision:

1.      That authority be delegated to the Cabinet Member for Education and Skills, in consultation with the Director of Children’s Services, to approve the award of contracts for Alternative Provision – Flexible Framework when the evaluation process is complete.

 

2.      That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Strategy, to approve the award of a contract for Information Technology Service Management Application when the evaluation process is complete.

 

3.      That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Strategy, to approve the award of a contract for Microsoft Enterprise Licences when the evaluation process is complete.

 

4.      That the exemption from Contract Procedure Rules to award the interim contract for Emotional Wellbeing Service to Base 25 for a duration of six months from 1 September 2020 to 28 February 2021 with a value of £272,000 be approved.

 

5.      That authority be delegated to the Cabinet Member for Governance, in consultation with the Director of Governance, to approve the award of a contract for Elections Printing when the evaluation process is complete.

 

6.      That authority be delegated to the Head of Legal Services to execute the contracts in respect of the above as required.

 

7.      That the exemptions to the Contract Procedure Rules approved by the Head of Procurement and Director of Finance for the periods 1 March to 31 March 2020 and 1 April to 30 April 2020, as set out in Appendices 1 and 2 to the report be noted.

 

Minutes:

Councillor Louise Miles presented for approval the report on the award of contracts for works, goods and services. In doing so she drew to the meetings attention exemptions to the Contract Procedure Rules approved by the Head of Procurement and Director of Finance for the periods 1 to 31 March and 1 to 30 April; and an exemption from Contract Procedure Rules to award an interim contract for Emotional Wellbeing Service.

 

Resolved:

1.    That authority be delegated to the Cabinet Member for Education and Skills, in consultation with the Director of Children’s Services, to approve the award of contracts for Alternative Provision – Flexible Framework when the evaluation process is complete.

 

2.    That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Strategy, to approve the award of a contract for Information Technology Service Management Application when the evaluation process is complete.

 

3.    That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Strategy, to approve the award of a contract for Microsoft Enterprise Licences when the evaluation process is complete.

 

4.    That the exemption from Contract Procedure Rules to award the interim contract for Emotional Wellbeing Service to Base 25 for a duration of six months from 1 September 2020 to 28 February 2021 with a value of £272,000 be approved.

 

5.    That authority be delegated to the Cabinet Member for Governance, in consultation with the Director of Governance, to approve the award of a contract for Elections Printing when the evaluation process is complete.

 

6.    That authority be delegated to the Head of Legal Services to execute the contracts in respect of the above as required.

 

7.    That the exemptions to the Contract Procedure Rules approved by the Head of Procurement and Director of Finance for the periods 1 March to 31 March 2020 and 1 April to 30 April 2020, as set out in Appendices 1 and 2 to the report be noted.

 

10.

Schools Capital Programme 2020-2021

[To receive an update on the Schools Capital Programme 2020-2021 and a breakdown of schemes for approval with associated funding]

Decision:

1.      That the detailed projects for schools’ condition allocation capital funding in 2020-21 as listed in paragraph 3.6 of the report be approved.

 

2.      That authority be delegated to the Cabinet Member for Education and Skills in consultation with the Director of Children’s Services, to initiate works in relation to emergency works preventing a school closure.

 

3.      That authority be delegated to the Cabinet Member for Education and Skills in consultation with the Director of Children’s Services, to initiate works in relation to asbestos removal preventing a school closure.

 

4.      That it be noted that the resources available for implementing the 2020-21 schools‘ capital maintenance programme is £1.3 million against a condition backlog of £3 million for priority 1 items.

 

5.      That it be noted that the resources available for basic need have been fully committed toward the expansion of the primary and secondary school estate, to support the provision of additional pupil places given a continued increase in demand.

 

Minutes:

Councillor Dr Michael Hardacre presented the report on the priorities for the schools’ capital programme 2020-2021.  Government grant of £1.3 million had been made available for the capital investment into the City’s schools for urgent works to prevent school closures or health and safety breaches. Councillor Hardacre announced that the condition survey on which the Government grant was made, included urgent items totalling circa £3 million.  

 

Resolved:

1.    That the detailed projects for schools’ condition allocation capital funding in 2020-21 as listed in paragraph 3.6 of the report be approved.

 

2.    That authority be delegated to the Cabinet Member for Education and Skills in consultation with the Director of Children’s Services, to initiate works in relation to emergency works preventing a school closure.

 

3.    That authority be delegated to the Cabinet Member for Education and Skills in consultation with the Director of Children’s Services, to initiate works in relation to asbestos removal preventing a school closure.

 

4.    That it be noted that the resources available for implementing the 2020-21 schools‘ capital maintenance programme is £1.3 million against a condition backlog of £3 million for priority 1 items.

 

5.    That it be noted that the resources available for basic need have been fully committed toward the expansion of the primary and secondary school estate, to support the provision of additional pupil places given a continued increase in demand.

 

11.

Leisure Private Finance Initiative - Deed of Variation

[To approve delegations for the final details of the Deed of Variation for the Leisure Private Finance Initiative at Bentley Bridge]

Decision:

1.      That the Council enter into a Deed of Variation to the Private Finance Initiative Project Agreement relating to the Wolverhampton Swimming and Fitness Centre atBentley Bridge, together with any ancillary documents necessary to give effect to the Deed of Variation.

 

2.      That authority be delegated to the Cabinet Member for City Environment, the Cabinet Member for Finance, and the Cabinet Member for Governance in consultation with the Director of Public Health, the Director of Finance and the Director of Governance to approve the final details of the Deed of Variation and any ancillary documents.

Minutes:

Councillor Steve Evans presented the report on negotiations with the Leisure Private Finance Initiative (PFI) contractor regarding changes to the Project Agreement in light of Civid-19 issues.

 

Resolved:

1.    That the Council enter into a Deed of Variation to the Private Finance Initiative Project Agreement relating to the Wolverhampton Swimming and Fitness Centre atBentley Bridge, together with any ancillary documents necessary to give effect to the Deed of Variation.

 

2.    That authority be delegated to the Cabinet Member for City Environment, the Cabinet Member for Finance, and the Cabinet Member for Governance in consultation with the Director of Public Health, the Director of Finance and the Director of Governance to approve the final details of the Deed of Variation and any ancillary documents.

12.

Covid 19 - Impact on the Capital Programme (private)

[To consider capital budget implications arising from the global pandemic]

Decision:

That Council be recommended to:

1.      Note that the Covid-19 pandemic has had a damaging impact on capital projects, internationally, across the UK and in the city, leading to cost pressures associated with new ‘social distanced’ operating models, materials and how they are sourced. Major development projects such as the Civic Halls and WV Living sites have been affected by this global issue.

2.      Approve budgetary provision for specific risks emerging from the Covid-19 global pandemic in relation to the Civic Halls project, that cannot be contained within the contingencies already provided for within the existing budget

3.      Delegate authority to the Cabinet Member for City Economy in consultation with the Director for Regeneration, to approve the award of the construction contract for the Civic Halls restoration project, to Willmott Dixon Interiors Ltd of Lock House, Castle Meadow Road, Nottingham, NG2 1AG for a total contract value as prescribed at paragraph 2.3 to the report.

4.      That, due to the impact of Covid-19, a capital repayment holiday is provided to WV Living.

5.      That, due to the impact of Covid-19, equity of £2 million is provided to WV Living once evidence has been provided to satisfy the Director of Finance and the Director of Governance that the investment would comply with the relevant rules.

6.      Delegate authority to the Cabinet Member for Resources, in consultation with the Director of Finance to approve the final terms of the capital repayment holiday and the equity provision.

7.      Delegate authority to the Director of Governance to execute the necessary agreements to give effect to the decisions made.

 

Minutes:

Councillor Louise Miles presented the report on the impact of the Covid-19 pandemic on the Council's capital programme. The report contained the detailed figures on the financial impact of the Council’s projects and programmes referred to in the public section of the agenda, that if released could prejudice the Council’s or its partners financial position.

 

Resolved:

That Council be recommended to:

1.    Note that the Covid-19 pandemic has had a damaging impact on capital projects, internationally, across the UK and in the city, leading to cost pressures associated with new ‘social distanced’ operating models, materials and how they are sourced. Major development projects such as the Civic Halls and WV Living sites have been affected by this global issue.

2.    Approve budgetary provision for specific risks emerging from the Covid-19 global pandemic in relation to the Civic Halls project, that cannot be contained within the contingencies already provided for within the existing budget

3.    Delegate authority to the Cabinet Member for City Economy in consultation with the Director for Regeneration, to approve the award of the construction contract for the Civic Halls restoration project, to Willmott Dixon Interiors Ltd of Lock House, Castle Meadow Road, Nottingham, NG2 1AG for a total contract value as prescribed at paragraph 2.3 to the report.

4.    That, due to the impact of Covid-19, a capital repayment holiday is provided to WV Living.

5.    That, due to the impact of Covid-19, equity of £2 million is provided to WV Living once evidence has been provided to satisfy the Director of Finance and the Director of Governance that the investment would comply with the relevant rules.

6.    Delegate authority to the Cabinet Member for Resources, in consultation with the Director of Finance to approve the final terms of the capital repayment holiday and the equity provision.

7.    Delegate authority to the Director of Governance to execute the necessary agreements to give effect to the decisions made.

 

13.

Loan to Wolverhampton Homes for Purchase of Properties

[To consider a request for a loan to Wolverhampton Homes for the purchase of property]

Decision:

That Council be recommended to:

1.      Approve that Wolverhampton Homes are authorised to purchase properties from WV Living for the purpose of market rental.

 

2.      Approve that a loan of up to £1.6 million is provided to Wolverhampton Homes to facilitate the purchase of the properties.

 

3.      Approve that budgetary provision is made in the capital programme to facilitate the loan.

 

4.      Delegate authority to the Cabinet Member for Resources, in consultation with the Director of Finance to approve the final terms of the loan.

 

5.      Delegate authority to the Director of Governance to execute the necessary agreements to give effect to the decisions made.

 

Minutes:

Councillor Louise Miles presented the report on a request from Wolverhampton Homes for a loan for the purchase of properties. 

 

Resolved:

That Council be recommended to:

1.    Approve that Wolverhampton Homes are authorised to purchase properties from WV Living for the purpose of market rental.

 

2.    Approve that a loan of up to £1.6 million is provided to Wolverhampton Homes to facilitate the purchase of the properties.

 

3.    Approve that budgetary provision is made in the capital programme to facilitate the loan.

 

4.    Delegate authority to the Cabinet Member for Resources, in consultation with the Director of Finance to approve the final terms of the loan.

 

5.    Delegate authority to the Director of Governance to execute the necessary agreements to give effect to the decisions made.