Issue - meetings

The Principal Solicitor presented the report which followed a review by internal audit and external legal advice on the operation of the company (Maidstone Property Holdings).  The report set out the formal documents required in order to operate the company at arm’s length from the Council.

It was clarified that the company dealt with properties that were rented out at market rates, not social housing.  It was also confirmed that the recommendations in the report addressed the issues raised by Internal Audit and it would be shared with them.

A number of minor technical issues were raised with the documents and it was accepted that these would be addressed before the documents were approved by Council.

RESOLVED: That:

1.  It be agreed that this Committee is the appropriate body to exercise the shareholder function in relation to Maidstone Property Holdings Limited;

2.  Council be recommended to delegate to the Company Board, Policy and Resources Committee, and the Director of Finance and Business Improvement the various reserved matters set out in the schedule to the Operational Agreement attached at Appendix 1 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement; and

3.  Council be recommended the following:

a.  To approve the updated business plan of Maidstone Property Holdings Limited attached at Appendix 2 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement;

b.  To approve the amended Operational Agreement (including reserved matters) attached at Appendix 1 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement;

c.  To approve the amended Articles of Association at Appendix 3 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement;

d.  To approve the Service Agreement at Appendix 4 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement;

e.  To approve the addition to the Terms of Reference of Policy and Resources Committee at Appendix 5 to the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement and to authorise the Head of Legal Partnership to make any necessary changes to the Constitution; and

f.  To authorise the Director of Finance and Business Improvement to take all decisions he considers necessary (following consultation with the Head of Legal Partnership) to implement the changes outlined in the joint report of the Principal Solicitor, Governance, and Director of Finance and Business Improvement and the documents at a) to d) to include making all shareholder decisions.

Voting:  Unanimous