Agenda item - Housing Delivery Options - Wholly Owned Housing Company

Report of Executive Director, Economy, Environment & Culture (copy attached).

(1)  That Housing & New HomesCommittee

(i)    recommends the report to Policy, Resources & Growth Committee as out at paragraph 2.2 subject to the below details at (2) .first coming back to a future meeting of the Housing & New Homes Committee to be approved.

(ii)   Recommends the below details are provided to all members, and a final decision to proceed with a wholly owned council housing company be approved by a meeting of Full Council.

(2)  That Policy, Resources and Growth Committee:

(i) Give delegated authority to the Executive Director of Economy, Environment & Culture in consultation with the Executive Lead Officer for Strategy Governance & Law and Executive Director of Finance & Resources to:

a. progress a wholly owned Special Purpose Vehicle or Housing Company to support the provision of additional homes in the city;

b. agree and authorise execution the preparation of documentation required to implement the model;

c. make the appointments to the management board; which will include the Chair, Opposition Spokesperson and Minority Group Spokesperson of the Housing and New Homes Committee.

(ii) Note that future projects will come back to committee for approval including any business plans and the disposal of land/sites.

41.1   The Committee considered a report of the Executive Director Economy Environment & Culture which set out a proposal to establish a wholly owned Special Purpose Vehicle or Housing Company.  Following the September Committee meeting further work had been undertaken seeking to address key concerns of councillors through additional briefings offered to Housing Spokespersons and their lead members/political groups.  Details of the briefings were outlined in the report.

41.2   The proposal was informed by outcome of the Housing Market Intervention options study presented to Housing & New Homes Committee in March 2016 who approved the report and agreed to the procurement of legal and other specialist advisers to pursue this work.  The report was presented by the Head of Housing Strategy, Property and Investment, and the Programme Manager, Regeneration.  

41.3   Councillor Mears proposed the following amendment which was seconded by Councillor Bell.

“That the recommendations on page 108 of the agenda be amended as follows:

2. RECOMMENDATIONS:

2.1 That Housing & New Homes Committee:

i) Recommends the report to Policy, Resources & Growth Committee as set out at paragraph 2.2 subject to the below details at 2.2 first coming back to a future meeting of this committee to be approved.

ii) Recommends the below details are provided to all members, and a final decision to proceed with a wholly owned council housing company be approved by a meeting of Full Council.

2.2 That Policy, Resources & Growth Committee:

ii) Give delegated authority to the Executive Director of Economy, Environment & Culture in consultation with the Executive Lead Officer for Strategy Governance & Law and Executive Director of Finance & Resources to:

a. progress a wholly owned Special Purpose Vehicle or Housing Company to support the provision of additional homes in the city;

b. agree and authorise execution the preparation of documentation required to implement the model;

c. make the appointments to the management board; which will include the Chair, Opposition Spokesperson and Minority Group Spokesperson of the Housing and New Homes Committee.

iii) Note that future projects will come back to committee for approval including any business plans and the disposal of land/sites.”

41.4   Councillor Gibson asked officers if they could give some indication of timescales.  When would the Housing Company be in a position to build some houses?

41.5   Head of Housing Strategy, Property and Investment replied that the intention was to progress as soon as possible.  All project proposals would be considered by the Committee and the Cross Party Estate Regeneration Board. 

41.6   The Executive Director, Economy, Environment & Culture informed Members that officers would move as quickly as possible but each of the projects took time.  

41.7   Councillor Mears referred to the financial comments on page 113, paragraph 8.2. She asked if there was enough money to obtain legal advice. The Principal Accountant replied that there was enough money available at the moment. The cost might increase as the project progressed. All increases had to be approved and funds identified.  At the moment the cost of appointed legal consultants was within budget. 

41.8   At this point the Committee voted on the Conservative amendment outlined in paragraph 41.3 above. The amendment was unanimously agreed.

41.9    RESOLVED:-

(1)            That Housing & New HomesCommittee

(i)     recommends the report to Policy, Resources & Growth Committee as out at paragraph 2.2 subject to the below details at (2) .first coming back to a future meeting of the Housing & New Homes Committee to be approved.

(ii)   Recommends the below details are provided to all members, and a final decision to proceed with a wholly owned council housing company be approved by a meeting of Full Council.

(2)            That Policy, Resources and Growth Committee:

(i) Give delegated authority to the Executive Director of Economy, Environment & Culture in consultation with the Executive Lead Officer for Strategy Governance & Law and Executive Director of Finance & Resources to:

a. progress a wholly owned Special Purpose Vehicle or Housing Company to support the provision of additional homes in the city;

b. agree and authorise execution the preparation of documentation required to implement the model;

c. make the appointments to the management board; which will include the Chair, Opposition Spokesperson and Minority Group Spokesperson of the Housing and New Homes Committee.

(ii) Note that future projects will come back to committee for approval including any business plans and the disposal of land/sites.