Agenda item

30/18              

Consideration was given to a report that sought to adopt the draft Commercial Property Strategy.

During his introduction, the Leader of the Council reminded those in attendance that the draft Strategy had been considered by the Overview and Scrutiny Panel and Audit Committee at their respective meetings on 6 September 2018.  The Leader advised that both meetings had made a series of suggested revisions to the draft Strategy and these had been reflected in the version that was being recommended for approval at this meeting.

In the ensuing discussion, reference was made to:-

(a)   an additional recommendation was PROPOSED and SECONDED that read as follows:

‘That, before a final decision to proceed with a development or acquisition is made, local Ward Members will be briefed and be able to share their views with Executive Members.’

In introducing his addition, the proposer felt that increased emphasis should be given in the process to local Ward Members and that there was a current lack of recognition of the need for these Members to report back to their local town and parish councils and communities.

During the debate, the proposer and seconder of the original motion confirmed that they were happy to accept this addition and it was therefore included as part of the substantive motion;

(b)   a further addition to the recommendation was then PROPOSED and SECONDED as follows:

‘That there will be a mechanism for Commercial Property decisions made by the Executive to be called-in by the Overview and Scrutiny Panel using the existing Overview and Scrutiny Procedure Rules.’

The proposer of the addition introduced his amendment and felt that, when considering the potential sums of money involved, any decisions that fell within the Strategy (regardless of whether they were defined as being ‘Development on Council Owned Land’ or ‘Commercial Property Acquisitions in the South Hams’) should be able to be called-in.  Furthermore, other Members expressed their support for the addition and highlighted that this amendment was reflective of the significant public concern over the proposals.

Other Members spoke in opposition to the amendment and cited reasons that included:

-     the call-in provision would already be in place for those decisions defined as being ‘Development on Council Owned Land’;

-     in most instances, decisions relating to ‘Commercial Property Acquisitions in the South Hams’ required a very quick response.  As a result, in the event of a call-in being invoked, it was highly likely that the Council would miss out on the opportunity to acquire a property; and

-     the inclusion of the additional recommendation whereby, before any final decision was made to proceed, local Ward Members would be briefed and able to make their views known to the Executive Members.

When put to the vote, the amendment was declared LOST.

(c)    the views of the Overview and Scrutiny Panel and Audit Committee.  A number of Members acknowledged that the revised draft Strategy had taken into account the views expressed by both Member Bodies.  As a consequence, these Members felt that they were now able to support the proposals.

       It was then:

RESOLVED

1.     That the Commercial Property Strategy (as outlined at Appendix A of the presented agenda report) be adopted;

2.     That a total borrowing limit be set at £60 million for the Commercial Property Strategy (capped at no more than £30 million borrowing before 30 April 2019);

3.     That the authority and decision making function relating to ‘Development on Council Owned Land’ be delegated to the Executive (assuming that the proposed expenditure complies with the Council approved total borrowing limits).  (NB. this delegation includes the granting of associated leases in excess of 15 years as and when required);

4.     That the authority and decision making function relating to ‘Commercial Property Acquisitions in the South Hams’ be delegated to the Head of Paid Service and Section 151 Officer, in consultation with Members of the Executive (as detailed in Appendix A of the presented agenda report);

5.     That, when the Council acquires a Commercial Property in line with this Strategy, a report will be presented (for noting purposes) to the subsequent meeting of the Executive;

6.     That, with immediate effect, the Investments Member Working Group be disbanded; and

7.     That, before a final decision to proceed with a development or acquisition is made, local Ward Members will be briefed and be able to share their views with Executive Members.