Issue - meetings

This report provides an update on a number of matters relating to the Accommodation Project for the Council’s new Headquarters building, as requested by Members at the Executive meeting on 20 July 2010.

Note: an additional annex to the above report (Annex B), giving a breakdown of the estimated net savings for the remaining 25 years of the project, was published on-line with this agenda on 29 October 2010.

RESOLVED: (i)         That the progress being made with the Accommodation Project be noted.

REASON:      To confirm that Members are being kept informed on this project.

                        (ii)        That, in dealing with the dilapidations issues, Option A (a cash settlement in lieu of works) be supported.

REASON:      To provide greater financial certainty for the departure from rented properties, and because calculations show this method to be best value for council tax payers.

Members considered a report which provided an update on the implementation of an Exit Strategy for those properties currently occupied by the Council, as part of the Accommodation Project for the new Headquarters building.

As requested at the Executive meeting on 20 July 2010, the report provided information on:

• Current accommodation lease termination and break clause dates
• The strategy for dealing with dilapidations
• The strategy to minimise the time between the Council’s departure from the buildings and the lease termination dates
• How the risk of disruption to council services would be minimised during staff re-location to the new premises
• The financial benefits of the project, in simple terms, with further details of annual savings attached at Annex A.

Property Services had adopted two options for dealing with dilapidations:

Option A – negotiate a cash settlement with the landlord in lieu of carrying out the works.  This was the preferred option, as is made budgeting easier and enabled the service to remain in occupation for longer.

Option B – carry out the works necessary to hand the property back in a state of repair in accordance with the terms of the lease.

Having noted the comments of the Labour Group Spokespersons on this item, it was

RESOLVED: (i)         That the progress being made with the Accommodation Project be noted.

REASON:      To confirm that Members are being kept informed on this project.

                        (ii)        That, in dealing with the dilapidations issues, Option A (a cash settlement in lieu of works) be supported.¹

REASON:      To provide greater financial certainty for the departure from rented properties, and because calculations show this method to be best value for council tax payers.