Agenda item

Brownfield Fund Grant Agreements/Exemption from Contract Procedure Rules for Enabling Works- Part B

Minutes:

Councillor Eamonn O’Brien Leader of the Council and Cabinet Member for Finance and Growth presented a report informing Cabinet of the Council’s successful Brownfield Land fund bid, to give consent to enter into the grant agreements, to allocate a budget for Brownfield Land within the capital programme and agree procurement of enabling works contractors to ensure the brownfield land fund grant funding is spent in accordance with the funding agreement.

 

Delegated decision:

 

Having agreed the figures as set out in the report

 

Cabinet agrees to:

 

1.   Note the award of Brownfield fund grant to deliver a package of enabling works on two nominated sites and authorise the Director of Regeneration and Capital Growth, in consultation with the Chief Finance Officer to enter into a Brownfield Funding Agreement (BLF) with GMCA;

2.   Note that bids for further sites are being submitted for a second round of funding and agree that, should bids be successful, Tranche 2 grant agreements can be entered into with GMCA;

3.   Underwrite the grant to ensure that a start on site with enabling works before March 2021 and housing start outputs are achieved within the programme period (by 31st March 2025).

4.   Authorise the inclusion of the Brownfield Fund Grant in the Capital Programme for 20/21;

5.   Delegate authority to the Director of Regeneration and Capital Growth to take all necessary steps in order to procure the carrying out of the relevant site ‘enabling works’, including the authorisation of contracts.

6.   Use an appointed agent to undertake a competition for the enabling works contractors for the benefit of expedience in getting a contractor appointed early in the new year.

7.   Approve that the Council enters in a contract for the enabling works as recommended by our agent.

8.   Agree the following resolution as required by GMCA

 

"It has been agreed that the Greater Manchester Combined Authority (GMCA) will provide grants to the Council in relation to the development of School Street site at School Street Radcliffe, M26 3BH and the Former Millwood School at Fletcher Fold Road, BL9 9RX,  subject to the terms in  draft grant agreements to be entered into between the GMCA and the Council (Grant Agreements).After due consideration of all the circumstances it was resolved that the Council shall enter into the Grant Agreements in the form produced and the Grant Agreements be sealed by the Council's common seal and executed as deeds by the Council and that they be duly recorded."

 

Reason for the decision:

 

The cost of the works can be met from the grant funding available.  The grant conditions require the Council to underwrite the position in the event that these are not met and the grant is clawed back.  Whilst there is a risk attached to the spending profile not being achieved by the end of March 2020/21 the grant provides an opportunity to receive funding for costs that would otherwise need to be met by the Council in order to complete the development.  Monitoring arrangements will be established to ensure the short and longer term requirements are overseen and appropriate escalation and risk mitigation measures are put in place.

 

Other option considered and rejected:

 

To reject the recommendations.