Decision details

The Cabinet will be asked to make recommendations to full Council, in respect of approving funding to implement the initial five year Business Plan for the Council’s wholly owned Housing Development Company: Barley Homes (Group) Ltd.

RECOMMENDED TO COUNCIL: (21 December 2016)

That:-

1.           The five year Business Plan, attached at Exempt Appendix A to Report No: OAS/FH/16/030, be approved.

2.           A £3m revolving investment facility, to be added to the Council’s capital programme, financed from the reallocation of the “Housing Company” pending capital budget of £3m, be approved.

3.           Delegation be given to the S151 Officer and Monitoring Officer, in consultation with the Portfolio Holders for Resources and Performance and Housing to issue equity and loan funding from the revolving investment facility (set out in 2. above) subject to state aid requirements.

4.           The S151 Officer and Monitoring Officer, in consultation with the Portfolio Holder for Resources and Performance, be authorised to negotiate and agree the terms of such  loans with Barley Homes and the funding and necessary legal agreements, taking into consideration the Council’s loans policy and state aid requirements.

5.           Approval of the Business Plan will constitute consent for Barley Homes to issue shares and enter into debt financing, in line with the Business Plan, be noted.