Nomination of Director for 3 Rivers Developments Limited (1-52-18)
In March 2017, the Cabinet gave delegated authority to the Cabinet Member for Housing, the Director of Finance and the Head of Housing and Property to establish a housing development company, based on the skill-set and experience the three individuals in those roles at that time could offer. The company, 3 Rivers Developments Limited, was established in April 2017 and those with delegated authority became the three Council directors. That reflected the intentions set out in the report, although it was recognised that this would be the initial arrangement. The Board of the Company has the power to appoint two further non-executive directors independently.
Cllr Stanley (in his capacity as the then Cabinet Member for Housing) is currently a nominated director. If the Cabinet wishes to change this, it must nominate someone else and the Board will make the necessary arrangements to give effect to the appointment. However, it is essential that the person who takes on the role has the time and skill-set to meet the statutory duties which apply to company directors generally and to the specific needs of 3 Rivers. Training will be provided on these duties, but directors must recognise that when they are acting as such, their primary duty is to the company and its success – and remembering the purpose for which the company was first established i.e. to make a financial return to the Council.
Minutes:
The Chairman informed the meeting that until the May elections the Cabinet Member for Housing had been the nominated Director for 3 Rivers Developments Limited. It was his view that the new Cabinet Member for Housing did not have the experience to fulfil the role of a director for the company. He therefore suggested that the link between the Cabinet Member for Housing and the Director for 3 Rivers Developments Limited be uncoupled and that the directorship remain with Cllr R L Stanley
RESOLVED that Cllr R L Stanley remain as a Director of 3 Rivers Developments Limited.
(Proposed by the Chairman)