Agenda and minutes

Prior to the commencement of  business the Convener announced that Isobel Soudan, Principal Registrar of Births, Deaths and Marriages was retiring after 37 years of service with the Council.  The Convener, on behalf of the Council, had taken the opportunity to make a presentation to her at the Annual AGM of Registrars Association which was held recently in Oban.

 

John Fletcher, Council Officer was also retiring after 19 years of service with the Council.  The Convener would present him with an appropriate  gift to mark the occasion in due course.  He thanked them both for their loyal service and wished them and their families good health and happiness on their retirement.

Councillor John Findlay, Councillor Donald Kelly, Councillor James McQueen.

1. To consider the following Report by the Director of Community Services (together with the attached Annexes and Appendices);

2. To receive presentations relating to the Report and Annexes; and

3. If so resolved, to pass the resolutions contained in the Report by the Director of Community Services together with any other resolutions that may be necessary or desirable.

The Council considered a report by the Director of Community Services which made recommendations to pass various resolutions required to enable financial close to be achieved in respect of the Education PPP/NPDO Project.  The report had a number of Annexes, some of which contained exempt information in terms of Section 50 of the Local Government (Scotland) Act 1973. 

 

The Director  of Community Services introduced and answered questions on his report which recommended that the Council pass the resolutions required to enable financial close to be achieved in relation to the design, build, finance and operate the new school premises comprising the schools at Dunoon Grammar, Lochgilphead Joint Campus, Oban Primary Campus and Rothesay Joint Campus and to enable Hermitage Academy to be dealt with in accordance with the Project Agreement.

 

Mike Casey, NPDO Project Team and Darran Muir of Capita Symonds gave a presentation and answered questions on the educational and technical requirements and provisions of the NPDO Project relative to Annex 1 to the report by the Director of Community Services.

 

The Council resolved in terms of Section 50A(4) of the Local Government (Scotland) Act 1973 to exclude the public during consideration of Annexes 2, 3, 4 and 5 of the report by the Director of Community Services on the grounds that it was likely to  involve disclosure of exempt information as defined in paragraphs 6,8 & 9 of Part 1 of Schedule 7A of the Act.

 

Donald Kelly, Chief Solicitor and Julia Kennedy, Shepherd & Wedderburn gave a presentation and answered questions on the legal and commercial issues arising from the NPDO Project, relative to Annex 2.

 

Bruce West, Head of Strategic Finance and Michael Pryor, Ernst & Young gave a presentation and answered questions on the financial issues arising from the NPDO Project, relative to Annex 3.

 

Mike Geraghty, Project Director gave a presentation and answered questions on the Final Business Case that the Scottish Executive required to provide Revenue Support Grant for the NPDO, relative to Annex 4.

 

Bruce West, Head of Strategic Finance gave a presentation and answered questions on how the Council will address the affordability gap, relative to Annex 5.  Thereafter the press and public returned to the meeting.

 

Decision

 

The Council passed the following resolutions unanimously:

 

1.         The Council –

 

1. Notes the educational and technical requirements set out in Annex 1 and its appendices prepared by the Project Director.

 

2. Notes the legal and commercial issues set out in Annex 2 and its appendices prepared by the Chief Solicitor, Conveyancing, Contracts & Estates.

 

3. Notes the financial issues set out in Annex 3 prepared by the Head of Strategic Finance.

 

4. Approves the Final Business case set out in Annex 4 prepared by the Project Director and authorises its submission to the Scottish Executive.

 

5. Notes the affordability gap and approve the recommendations in Annex 5 prepared by the Head of Strategic Finance.

 

	All relative to the design, construction and financing of new school premises comprising the Dunoon Grammar, the Lochgilphead Joint Campus, the Oban Primary Campus, the Rothesay Joint Campus and the replacement Hermitage Academy and associated facilities and the provision of services required for the proper maintenance and the efficient running of the school buildings and other facilities in accordance with the Government’s Public Private Partnership Programme (“the Project”).
2.	The Council authorises the Director of Community Services to negotiate, agree and enter into on behalf of the Council, and resolves that the Council will perform the obligations contained in, inter alia the following contractual documents, and all other contractual documents which the  Council may require to enter into in relation to the Project.
	(a)	The Project Agreement (“the Contract”) between Argyll and Bute Council and ABC Schools Limited (“ the Contractor”); and
	(b)	The Funders Direct Agreement between the Council, the Contractor and the agent for the Senior Finance Parties in connection with the Project (“the Direct Agreement”).
3.	The Council has the power to enter into the Contract and the Direct Agreement and all other contractual documents in relation to the Project, in terms of Section 1, Section 6, Section 17, Section 20 and Section 53 of the Education (Scotland) Act 1980; Section 14 and Section 15 of the Local Government and Planning (Scotland) Act 1982 and Section 69, Section 123 and Section 163 of the Local Government (Scotland) Act 1973.
4.	The Director of Corporate Services or the Head of Legal and Protective Services are duly authorised to sign and deliver the Contract, the Direct Agreement and all other contractual documents in relation to the Project, on behalf of the Council.
5.	The Contract and the Direct Agreement and all other contractual documents which the Council is required to enter into with the Contractor in relation to the Project to which the Council is a party, shall be certified contracts within the meaning of Section 2 of the Local Government (Contracts) Act 1997 (“the 1997 Act”) and shall meet the certification requirements within Section 3 of the 1997 Act and that the said Director of Corporate Services and Head of Legal and Protective Services are duly authorised to sign and issue the certificates in terms of the 1997 Act.
6.	The Council finally notes with regret that due to outstanding planning contractual and financial matters, Hermitage Academy will not proceed within the timetable for the other schools set out in the Project Agreement, but the Council reaffirms its acceptance of the need to provide a replacement Hermitage Academy as its number 1 educational priority and commits itself to implementing the Academy rebuild as soon as possible after satisfactory resolution of the outstanding planning, contractual and financial matters.

 

(Ref: Reports by the Director of Community Services together with Annexes and Appendices dated 26 May 2005, submitted).

 

The Convener thanked the Council’s Officials, the External Advisors and Councillors for all their hard work involved in bringing the NPDO Projects to fruition.

Argyll and Bute Council 6 April 2005

The Council approved the Minutes of the Council Meeting of 6 May 2005 as a correct record.

The Committee considered the following Minutes.  They approved the recommendations of those Committees subject to what is shown below:-

Arising from item 15 (Public Water Supplies on Islay) the Council endorsed the recommendation by the Mid Argyll, Kintyre & Islay Area Committee which asked that the Council pursue with the Scottish Water Industry Commissioner and the Scottish Water Customer Panel  the question of the  adequacy of funding to enable development in areas on Islay, which are currently constrained by lack of water availability and also referred the issue to the new Argyll & Bute Strategic Housing Forum.

 

Arising from item 18 (The Provost Greenlees Trust) the Council agreed not to delegate responsibility to deal with applications to the Provost Greenlees Trust to Members representing the three Campbeltown wards,  and that responsibility should remain with the Area Committee.

(Copies of the proposed revised Constitution have previously been circulated to Members who are requested to bring this to the Meeting)

The Council considered a report which advised on the work undertaken by Corporate Services in relation to the revisal of the Council’s Governance documentation and the formation of a Council Constitution to contain all revised Governance Documentation.  The Council were asked to approve and adopt the Council Constitution. The Council also considered a report which advised on the implications for elements of the Constitution of the Land Reform (Scotland) Act 2003 (Part 1) which came into force on February 2005.

 

Decision

 

To continue both reports to the next Council Meeting and agreed that a Policy Development Group be formed consisting of 5 Members being Councillors Macaskill (chair), Walsh, Freeman, Hay and Scoullar to consider the reports and to report back to the Council Meeting.

 

(Ref: Report by Director of Corporate Services dated 26 May 2005, Report by Director of Development Services dated 26 May 2005, submitted and Council Constitution previously circulated).

Report by Director of Corporate Services

Details of allowances paid to Members of this Council during 2004/05 as part of the Accounts for the Council for that year were outlined.

 

Decision

 

To note the publication of the tables of allowances paid to Members during 2004/05.

 

(Ref: Report by Director of Corporate Services dated 5 May 2005, submitted)

 

The Committee resolved in terms of Section 50A(4) of the Local Government (Scotland) Act 1973, to exclude the public for the following item of business on the grounds that it was likely to involve the disclosure of exempt information as defined in Paragraphs 8 and 9 respectively Part 1 of Schedule 7A to the Local Government (Scotland) Act 1973.

Report by Director of Development Services

The Council considered a report which provided an update on the business case now that tenders had been returned and which asked the Council to consider whether the scheme should be approved for progression to the acceptance of a tender.

 

Decision

 

Agreed to proceed with the project as recommended within the report as submitted.

 

(Ref: Joint report by the Head of Transportation & Infrastructure and the Head of Strategic Finance dated 12 May 2005).