Venue: Phoenix Chamber, Phoenix House, Tiverton
Contact: Sarah Lees
Link: audio recording
To receive any apologies for absence.
Apologies were received from Councillors R J Chesterton, Mrs C Daw, B A Moore and S J Penny.
Public Question Time
To receive any questions relating to items on the Agenda from members of the public and replies thereto.
The following question had been received by Mr Nick Quinn, a local resident:
My question Concerns the whole Agenda and the Meeting in General
It is my opinion that the documents to be discussed at this meeting were not made available and/or published for the legally required publication period.
Question 3: Can the Leader assure me that he is satisfied that the proper procedures have been followed for calling the meeting and that the required notice was given for all the documents to be discussed at this meeting?
The Leader answered the question by stating that he was content all was in order.
Minutes of the Previous Meeting PDF 325 KB
To consider whether to approve the minutes as a correct record of the meeting held on 6 September 2022.
The minutes of the meeting held on 6th September 2022 were confirmed as a correct record and signed by the Leader.
Declarations of Interest under the Code of Conduct
To record any interests on agenda matters.
There were no interests declared under this item.
3 Rivers Developments Limited – Funding Request (00:05:00)
To consider any recommendation(s) arising from the scrutiny committee’s call-in of a decision made at Cabinet on 06/09/22.
The Scrutiny Committee had met the previous day to discuss a decision which had been taken by the Cabinet on 6th September 2022 in relation to a 3 Rivers Development Limited Funding Request and which had been called in by the Chairman of the Scrutiny Committee.
The Scrutiny Committee had asked for the following comments to be passed back to the Cabinet for further consideration:
The Scrutiny Committee were of the opinion that the updates contained in the Cabinet papers of 6th September were of such significance that the Committee believed that they constituted a new business plan rather than a simple update and therefore the Committee recommended that Cabinet, before reaching a decision on further borrowing, ensured that the agreed due diligence and governance steps were carried out, namely that the business plan was reviewed by the Audit Committee and that they were given the opportunity to comment on any risks and mitigations and that the opinion of the Audit Committee would be taken into account when making any further lending decisions.
(Proposed by Cllr J Buczkowski and seconded by Cllr L J Cruwys)
Having considered the comments of the Scrutiny Committee the Cabinet gave consideration to:
· The Bank of England base rate increase from 2.25% from 1.75% due to be announced on 22nd September and the effect of this on 3 Rivers Development Company and its Loans.
· The effect of any subsequent delay in decision making monetarily.
· The revised Business Plan which would be presented to the Scrutiny and Audit Committees, as per the agreed procedure, in November 2022.
The Cabinet RESOLVED not to support the recommendation of the Scrutiny Committee and to remain consistent with its view taken on 6th September:
That it be agreed to increase the current loan agreements by a total of £2,280,784 to cover; the identified project overspends on 2 projects included in the previously agreed Business Plan funding envelope agreed on the 30 November 2021 and increased the working capital loan agreement. In addition, it be agreed that a transfer from a future projects budget of £0.58m in order for the business to work up new potential projects to replace the out of District projects that had to be removed from the company’s business plan after changes to the Treasury’s Public Works Loan Board loan arrangements.
(Proposed by the Leader)