Issue - meetings

Following the meeting on 10^th May 2018, the Chairman of the Scrutiny Committee had called in the decision of the Cabinet: that subject to contract, to dispose of the Crediton office building to buyer 2 on the terms set out in paragraph 3.5 of the report for the following reasons:

1.  the decision appears to have been made, not in haste, but without full recognition of the potential for:

-       further negotiations to take place with Crediton Town  Council to see whether a more acceptable offer could be achieved. There is, despite the known financial pressures in local government, no deadline by which the decision had or has to be made -  other than the need for a disposal to take place before the end of the 18-month protected period which applies to disposals of assets of community value in order to avoid a further moratorium. 

-       the central and valued location of the building to Crediton which, if it were to be transferred to Crediton Town Council, could sustain the well-being and social cohesion of the town

2.  it is unclear how the Cabinet took into account the following Corporate Plan objectives:

-       working with local communities to encourage them to support themselves, including retaining and developing their local facilities and services

-       working with town and parish councils

The Scrutiny Committee at its meeting on 21 May 2018

“RESOLVED that the Cabinet be requested to reconsider its decision to dispose of the Crediton office building to buyer 2 and that Crediton Town Council be allowed to make a final offer for the building”.

Following the meeting on 10^th May 2018, the Chairman of the Scrutiny Committee had called in the decision of the Cabinet: that subject to contract, to dispose of the Crediton office building to buyer 2 on the terms set out in paragraph 3.5 of the report for the following reasons:

1.  the decision appears to have been made, not in haste, but without full recognition of the potential for:

·         further negotiations to take place with Crediton Town  Council to see whether a more acceptable offer could be achieved. There is, despite the known financial pressures in local government, no deadline by which the decision had or has to be made -  other than the need for a disposal to take place before the end of the 18-month protected period which applies to disposals of assets of community value in order to avoid a further moratorium. 

·         the central and valued location of the building to Crediton which, if it were to be transferred to Crediton Town Council, could sustain the well-being and social cohesion of the town

2.  it is unclear how the Cabinet took into account the following Corporate Plan objectives:

·         working with local communities to encourage them to support themselves, including retaining and developing their local facilities and services

·         working with town and parish councils

The Scrutiny Committee at its meeting on 21 May 2018

“RESOLVED that the Cabinet be requested to reconsider its decision to dispose of the Crediton office building to buyer 2 and that Crediton Town Council be allowed to make a final offer for the building”.

The Cabinet reconsidered the decision made on 10^th May 2018.

The Cabinet Member for Housing provided information on negotiations to date.

Returning to open session it was:

RESOLVED that the original decision stand in that: subject to contract, to dispose of the Crediton office building to Buyer 2 on the terms set out in paragraph 3.5 of the report, because:

(a)          The offer from Buyer 2 is the best offer put forward during the marketing period and it is a clear indication of the best consideration which can be reasonably obtained;

(b)          The offer from Buyer 2, although below the most recent unrestricted valuation, would not require vacant possession and thus save time and money in securing the transfer;

(c)          The Council realises a significant capital receipt and gives up future liability for an asset which is surplus to the Council’s requirements.

(d)          The offer from Crediton Town Council would result in disposal of the office for a capital receipt which was less than 50% of the restricted value.

(Proposed by Cllr R L Stanley and seconded by Cllr C R Slade)

Notes:

i)          Cllr Mrs M E Squires requested that her abstention from voting be recorded;

ii)         Cllrs J M Downes, F W Letch and N A Way declared personal interests as members of Crediton Town Council;

iii)       Report previously considered on 10^th May 2018, previously circulated.

To consider the decision of the Cabinet made on 10^th May 2018 with regard to the sale/disposal of the Crediton Office.

The Chairman of the Scrutiny Committee has called in the following decision of the Cabinet: that subject to contract, to dispose of the Crediton office building to buyer 2 on the terms set out in paragraph 3.5 of the report for the following reasons:

1.  the decision appears to have been made, not in haste, but without full recognition of the potential for:

-       further negotiations to take place with Crediton Town  Council to see whether a more acceptable offer could be achieved. There is, despite the known financial pressures in local government, no deadline by which the decision had or has to be made -  other than the need for a disposal to take place before the end of the 18-month protected period which applies to disposals of assets of community value in order to avoid a further moratorium. 

-       the central and valued location of the building to Crediton which, if it were to be transferred to Crediton Town Council, could sustain the well-being and social cohesion of the town

2.  it is unclear how the Cabinet took into account the following Corporate Plan objectives:

-       working with local communities to encourage them to support themselves, including retaining and developing their local facilities and services

-       working with town and parish councils

The Chairman informed the Committee that he had called in a decision made by the Cabinet at its meeting on 10^th May 2018 (with regard to the Crediton Office) for consideration by the Scrutiny Committee in accordance with the Council’s Constitution for the following reasons:

1          the decision appears to have been made, not in haste, but without full recognition of the potential for:

-       further negotiations to take place with Crediton Town  Council to see whether a more acceptable offer could be achieved. There is, despite the known financial pressures in local government, no deadline by which the decision had or has to be made -  other than the need for a disposal to take place before the end of the 18-month protected period which applies to disposals of assets of community value in order to avoid a further moratorium. 

-       the central and valued location of the building to Crediton which, if it were to be transferred to Crediton Town Council, could sustain the well-being and social cohesion of the town

2          it is unclear how the Cabinet took into account the following Corporate Plan objectives:

-          working with local communities to encourage them to support themselves, including retaining and developing their local facilities and services

-          working with town and parish councils

Following discussion on the matter, the meeting returned to open session and it was

RESOLVED that the Cabinet be requested to reconsider its decision to dispose of the Crediton office building to buyer 2 and that Crediton Town Council be allowed to make a final offer for the building.

(Proposed by Chairman and seconded by Cllr T G Hughes)

(Vote 5 for 4 against)

Notes

i)             Cllr F W Letch declared a personal interest as Chairman of Crediton Town Council;

ii)            Cllr N A Way declared a personal interest as a Member of Crediton Town Council;

iii)            *Report previously circulated