Agenda and minutes

AGREED      that the minutes of the meeting held on 14 December 2021 be approved as a correct record and signed by the Chairman.

There were no declarations of interest from Members or Officers and the Council noted the interests previously declared by Members in Agenda Item No. 11 – Minutes for Noting.

Other than the Council recording in accordance with usual practice, there were no declarations of intention to record the meeting.  The Chairman advised that the meeting was being streamed live.

Councillor D Lloyd, as Leader of the Council, advised Members that an additional meeting of the Policy & Finance Committee was to take place on 17 March 2022 to consider business cases in respect of the Newark Towns Fund.

Councillor Mrs S Michael, as Chairman of the Audit & Accounts Committee, reminded Members to return their completed Register of Interests forms to Democratic Services.

Councillor R Jackson, as Chairman of the Leisure & Environment Committee, informed the Council that the community Days of Action were now to be relaunched with the next one scheduled for Southwell on 13 March 2022. He also advised of a recent successful prosecution in respect of fly tipping.

In accordance with Rule No. 15.1 the following question has been submitted to the Council from Molly Chesney:

“In June 2015 Newark and Sherwood District Council approved a single loan of £250,000 from the Think BIG loan fund to a local Limited Company; this was the largest loan ever awarded by the fund and appears to account for c.17% of all loans made through the scheme.

The criteria for awarding loans was: “Gap funding, providing working capital for businesses that demonstrate growth potential and job creation and are unable to obtain the required bank support or other funding.” By November 2016, the 250,000 loan was deemed by Newark and Sherwood District Council to be “at-risk” as the business had had a difficult trading period. Repayments had stopped but the Council declared we had “a mortgage debenture alongside other funders and we have personal guarantees”.

Sadly, on 12^th September 2018 the firm entered administration owing £241,000 to the Council. According to Council papers at the time, “the offer currently available is to repay £34,000 as a lump sum in final settlement for a £150,000 personal guarantee.” Adding: “There is very little equity in the circumstances of the individual and it is important that they can continue to earn, rather than declaring bankruptcy. A compromise solution may be to accept this payment and add in legal conditions surrounding further repayments in future years with an annual review taking place”.

However, the total capital repaid to Newark and Sherwood District Council still stands at just £43,554 (source, FOI response received 19^th January 2022), which suggests that no further payments have been made since the £34,000 offer in September 2018.

Has there been an annual review in the three-plus years since the default of this debt? Did Newark and Sherwood District Council ever discuss whether there was an appropriate time to revisit the guarantees related to this debt - particularly given the promised "legal conditions" secured in 2018?”

In accordance with Rule No. 15.1, a member of the public submitted a question to the Council.  Details of the question put forward and the response given from Councillor D.J. Lloyd are attached as Appendix A to these minutes.

The Council considered the joint report of the Deputy Chief Executive, Director – Resources and Section 151 Officer and Director – Housing, Health & Wellbeing which sought approval of the Housing Revenue Account (HRA) budget for the 2022/23 financial year and proposed changes in rent levels and service charge levels for 2022/23.

The Policy & Finance Committee, at their meeting held on 27 January 2022, recommended approval of the HRA budget for 2022/2023, financial plan to 2025/26 and proposed changes in rent and service charge levels for 2022/23. These were detailed in Appendix A to the report.

Councillor D Lloyd moved and Councillor T Wendels seconded the recommendations contained in the report of an increase of 4.1% (Consumer Price Index (CPI) + 1%) in the 2022/23 rents of all properties in the HRA. It was considered that the proposed increase would provide funds to build new homes and fulfil the needs of the current and future tenants.

In accordance with Rule 26.4, Councillor P. Peacock moved, and Councillor L. Brazier seconded that the Council approves:

(a)       that the 2021/22 HRA Efficiency Savings of £643,000 (as outlined at the Policy and Finance Committee meeting of 27 January 2022 - Agenda Item 17, Page 113) be used within the 2022/23 budget and expenditure on the proposed policy areas as outlined on Page 112, section 3.2 of the same Policy and Finance report be considered in future years;

(b)   the HRA budget for 2022/23 as set out in Appendix A1 adjusted to include the changes set out above;

(c)   an increase of 1.15% in the 2022/23 rents of all properties in the HRA as at 31 March 2022; and

(d)   the 2022/23 service charges as set out in Appendix C to this report.

Members debated the proposed amendment and on being put to the vote, it was lost with 8 votes for and 25 against. A recorded vote on the amendment, was taken as follows:

The Council considered the substantive motion, and it was AGREED (with 25 votes for and 8 against) that the Council approves:

(a)       the Housing Revenue Account (HRA) budget for 2022/23, as set out  in Appendix A1 to the report;

(b)      an increase of 4.1% (CPI + 1%) in the 2022/23 rents of all properties in the HRA as at 31 March 2022; and

(c)       the 2022/23 service charges as set out in Appendix  ...  view the full minutes text for item 64.

(i)                              Minute No. 50 – Open Space Assessment & Strategy

Councillor P Harris raised concerns about the inconsistencies within the Open Space Strategy Document and he asked when and how the issues he raised would be addressed.

Councillor K Girling referred to the debate at the Economic Development Committee and the inconsistent information which had been provided by Parish Councils. He advised that this report was about collating information and taking forward from there.

(ii)        Minute No. 53 – Town Centre Strategy and Support

Councillor P Harris stated that the title for this strategy should be ‘Town Centres’ given there were several towns within the District.

Minute No. 57 – Chairman’s Report

Councillor L Goff advised the Council that he had attended the resident consultation in respect of the Yorke Drive Regeneration project where he raised the issue of the lack of bungalow provision within the proposed site design.

Councillor T Wendels advised that the plans for the site were available which would show the mix of properties.

Minute No. 89 – Halloughton Solar Planning Appeal Public Inquiry Update

Councillor P Harris raised concerns that the grounds for refusal in respect of this item were not strong enough or defendable He urged the Committee to ensure that future reasons for refusal were defendable.

Councillor R Blaney confirmed that the Committee would seek appropriate advice from officers when the determining grounds for refusal of any application.