Agenda item

Councillor Patel submits a report setting out for decision the issues surrounding the proposal to relocate the Abbey Meadows Depot and considering the financial implications and the comments of the Highways and Transportation and Finance, Resources and Equal Opportunities Scrutiny Committees following the Cabinet's approval in principle to the relocation at its last meeting.  The Cabinet is asked to consider its ‘in principle’ decision on the light of the additional financial information and the comments of the relevant Scrutiny Committees.  An addendum report from the Chief Financial Officer and the comments of the Scrutiny Committees will be circulated as soon as they are available.

Councillors Patel and Roberts reported on the issues surrounding the proposal to relocate the Abbey Meadows Depot.  An addendum report on the financial implications of the proposal had been circulated to Members and the views of the Scrutiny Committees were also noted.  In the light of all this information, a proposed resolution was circulated.

Further to the report the Director of Environment, Development and Commercial Services reported that the Environment Agency had, that afternoon indicated that they did not anticipate a flooding problem at the Abbey Meadows site.

RESOLVED:

(1)that the proposal to relocate the Abbey Meadows Depot on the basis set out in the report, including the EMDA contributions, be approved;

(2)that the costs involved for the City Council to allow the proposal to proceed as set out in the report be approved and the financial implications described in the addendum report, be noted;

(3)that the Director of Environment, Development and Commercial Services be authorised, in consultation with the Leader, Deputy Leader and the lead Cabinet Member for Strategic Planning and Regeneration and the Chief Financial Officer, to agree the details of the terms of the land disposals to EMDA in the knowledge that these need to be concluded before 31 March 2001; to negotiate further with EMDA; and to make any consequent changes to the detail of the proposals in the report where this is in the City Council's interest;

(4)that the Head of Legal Services be authorised to enter into an agreement with EMDA to secure the EMDA funding of the depot relocation and complete the land disposals in accordance with the terms agreed;

(5)that there be a 'level playing field' in which the Council's proposed use of Neighbourhood Renewal Fund (NRF) for the relocation of the depot be assessed against other potential uses of NRF and that the NRF not be used to relocate the depot if there are alternative proposals for expenditure in 2001/02 which better deliver the aims and objectives of the NRF;

(6)that the targets for capital receipts required to fund the approved capital programme be amended as follows:-

(a)the investment property receipts target to be set at £4m for 2001/02, net of any receipts ringfenced for specific projects, and increased to the extent that net investment property sales in 2000/01 fall short of £1.817m;

(b)the operational property receipts target to be set at £3m for 2001/02 to 2002/03, net of any receipts ringfenced for specific projects, and increased to the extent that net operational property sales in 2000/01 fall short of £195,000;

(c)to permit the Corporate Property Officer to manage both these targets as a single target, together with any additional investment property receipts which might be required in 2002/03 to fund the capital programme which commences in that year;

(7)that additional resources be made available to the corporate capital programme as follows:-

(a)£1m from uncommitted general reserves;

(b)£300,000 from the 2000/01 investment property budget;

(c)£500,000 from housing capital resources in 2000/01, such resources to be recognised as discharging the outstanding advance for document image processing;

(8)that the following ringfenced capital receipts for general purposes (noting that such receipts will not count towards the targets identified above), be released:-

- Receipt of £100,000 from sale of Runcorn House;

- Receipt of £175,000 from the sale of the Oaks

(9)that the three following capital programme provisions be separately identified within a separate part of the programme, such funds not to be spent without a further report to Cabinet, which report shall include an assurance from the Chief Financial Officer that they will not be needed to fund the depot relocation:-

(a)the full amount of the sum earmarked for regeneration, less sums earmarked in the approved 2001/02 budget;

(b)sum earmarked for street lighting spend to save consultancy - £300,000;

(c)education minor works - £350,000;

(10)that the Chief Financial Officer be authorised to use such part of the resources or provisions identified in Resolutions 7, 8 or 9 above to finance the Council's cash contribution to the relocation of the depot (as described in the report) as he believes appropriate, with the provision for education minor works to be used only as a last resort;

(11)that the consideration given by and comments of the Joint Strategic Planning and Regeneration and Finance, Resources and Equal Opportunities Scrutiny Committees be welcomed.  Specifically:

(a)to endorse the proposal of the Joint Scrutiny Committees that EMDA be urged to open up the Riverside frontage as much as possible and to include a local labour clause in any disposal of sites for development;

(b)that consideration be given to funding the relocation of design staff from the depot site through revenue sources as an alternative to using capital;

(c)to endorse the view of the joint scrutiny committee that education minor works provisions should be used as a last resort; and

(d)to note that the joint scrutiny committee did not consider NRF to be an appropriate source of funding and to note that at this stage it is not necessary to finalise the arrangements for funding the relocation; to agree, however, that it is prudent and sensible for the Council to proceed as per recommendation 5 above.