Issue - meetings

Report of Cabinet Member for Housing Services attached.

Councillor Clare Cummins, Cabinet Member for Housing Services, presented the report which consists of two parts seeking approval for the necessary post transition actions and transactions to complete arrangements for Six Town Housing to continue its reduced social housing activities after it ceased to be the Council’s ALMO.

Part 1 explains and recommends approval for

• the revision and amendment of the Six Town Housing (STH) Articles of Association to provide the governance arrangements for delivery of its reduced activities following the termination of its ALMO role on 31^st January 2024 and;
• recommends appointment of a new Chair of the newly composed Six Town Housing Board.

Part 2 explains and recommends approval of:

• A new Intra-Group Agreement (IGA) with STH to govern and record the corporate relationship between the Council and the Company. To provide assurance to STH and the Regulator that the Council will support STH to deliver and protect its social housing and not impede STHs compliance with the Regulators Regulatory Standards

Decision:

Cabinet:

• note reasons, power, and process for the Council to amend STH Articles of Association and appoint new Chair.
• To approve the Sole Member (Council) Special Resolution amending Articles of Association and appointing the new Chair.
• To delegate to the Cabinet Member for Housing Services the signing of the Sole Member Special Resolution to give effect to the Resolution as appended to this report.
• Delegate to the Monitoring Office the notifying of Companies House and the Regulator of Social Housing of the amendments of the Articles of Association.
• To note
  • The background and reasons explaining the need to approve the terms of the following instruments, and approve and direct the completion following instruments with STH:
    • Intra-Group Agreement.
    • Council Services Operation Plans & SLA.
    • Data Processing Agreement
    • Termination &Transition Agreement 1/2/24 minor amendment.

Reasons for recommendation(s):

• STH no longer performs the ALMO function for the Council but it continues as an active Private Registered Provider of Social Housing company owning and leasing just 149 social housing homes which it lets and sublets to its own social housing tenants. STH no longer employs staff, is managed solely by its Board, and wholly relies on the Council for services.
• Consequently, STH Articles of Association need changing to provide the governance arrangements appropriate to enable STH to efficiently deliver services to its small number of tenants.
• Furthermore, the Council and STH are advised to enter into the agreements recommended by this Report to ensure compliance with the law, regulatory requirements, and good governance practice so that the restructured STH may continue with its reduced social housing activities relying on the support of the Council.

Alternative options considered and rejected:

• The option to “do nothing” is not appropriate since STH corporate governance arrangements must provide for and align with STHs significantly reduced role and activities. And the additional agreements recommended in this Report shall ensure  ...  view the full minutes text for item 193