Agenda item

(a)  That the introduction of the proposed Strategic Acquisition Strategy and associated procedure be approved to enhance the ability for the Council to compete for investment opportunities within commercial timescales.

(b)  That in order to accelerate regeneration objectives, realise local economic development outcomes and provide long-term strategic benefits, it be agreed that all strategic acquisitions would normally be made within the Borough of Slough.

(c)  That the Council’s Financial Regulations be amended to enable the acquisition of assets by Cabinet up to £25m (inclusive of acquisition costs) and give authority for the capital programme to be amended as required.

(d)  That the Strategic Director for Regeneration, Housing and Resources, following consultation with the Commissioner for Neighbourhoods and Renewals and the Leader of the Council, be delegated authority to introduce the proposed Strategic Acquisition Board (“SAB”).

(e)  That the SAB be given delegated authority to make strategic acquisitions in line with the objectives, criteria and governance procedures set out in the report, following consultation with the with the Commissioner for Neighbourhoods and Renewals and the Leader of the Council.

(f)  That it be noted that in the event that Strategic acquisitions exceed £25m per annum, flexibility be introduced to provide authority to make a bid subject to Council approval.

(g)  That a balanced investment portfolio be created in line with set criteria, generating an independent income stream alleviating some of the pressure enforced by central government funding cuts.

The Assistant Director Assets, Infrastructure and Regeneration introduced a report which sought approval for the proposed Strategic Acquisition Strategy to enable the Council to accelerate its regeneration objectives and improve financial resilience.  It was proposed that a £25m budget be made available for strategic acquisitions and that the financial procedure rules and capital programme be amended accordingly.

The Part II Appendices 2 and 3 to the report were noted during consideration of the item without disclosing any of the exempt information.

The Strategy and associated procedure would enhance the ability of the Council to compete for investment opportunities within commercial timescales, whilst also ensuring high levels of governance.  The acquisition of property assets could directly help achieve the Five Year Plan outcomes in terms of regeneration, and a more streamlined decision making procedure proposed would mean the Council could respond more quickly to opportunities than it was able to do at present.  Acquiring investment assets which generated a commercial return could also support the Council’s financial objectives, particularly during a period of future reductions in Government funding.  It was proposed to establish a Strategic Acquisition Board which would make decisions on acquisitions and investments against the criteria set out in the appendices to the report, and monitor the performance of the investment portfolio.

The Cabinet discussed a range of issues including the acquisition procedure and criteria and it was confirmed that acquisitions would be made in Slough, unless there were exceptional circumstances.  Commissioners agreed that the Strategy would be a good use of the Council’s capital resources to deliver strong financial returns at the same time as making significant investments in the town.  At the conclusion of the discussion, it was agreed to recommend the adoption of the Strategy and associated procedures, capital programme adjustments and amendments to the financial procedure rules to full Council at its meeting on 22^nd September 2015.

Recommended –

(a)  That the introduction of the proposed Strategic Acquisition Strategy and associated procedure be approved to enhance the ability for the Council to compete for investment opportunities within commercial timescales.

(b)  That in order to accelerate regeneration objectives, realise local economic development outcomes and provide long-term strategic benefits, it be agreed that all strategic acquisitions would normally be made within the Borough of Slough.

(c)  That the Council’s Financial Regulations be amended to enable the acquisition of assets by Cabinet up to £25m (inclusive of acquisition costs) and give authority for the capital programme to be amended as required.

(d)  That the Strategic Director for Regeneration, Housing and Resources, following consultation with the Commissioner for Neighbourhoods and Renewals and the Leader of the Council, be delegated authority to introduce the proposed Strategic Acquisition Board (“SAB”).

(e)  That the SAB be given delegated authority to make strategic acquisitions in line with the objectives, criteria and governance procedures set out in the report, following consultation with the with the Commissioner for Neighbourhoods and Renewals and the Leader of the Council.

(f)  That it be noted that in the event that Strategic acquisitions exceed £25m per annum, flexibility be introduced to provide authority to make a bid subject to Council approval.

(g)  That a balanced investment portfolio be created in line with set criteria, generating an independent income stream alleviating some of the pressure enforced by central government funding cuts.