Agenda item

Limited Liability Partnership (LLP)

The report of the Executive Manager – Operations and Transformation.

Decision:

It was RESOLVED that:

a) the creation of a limited liability company partnership (LLP) between RBC Enterprises Ltd and PSP facilitating Limited (PSPF) be approved.

b) the final terms of the agreement be delegated to the Deputy Chief Executive in consultation with the Chief Executive and the Leader provided that all the due diligence checks had been carried out successfully.

c) the LLP arrangement required to establish an LLP Partnership Board with equal Council and PSPF representation be noted. This will be supported by an Operations Board for officers.

d) the Council representation on the Partnership Board will be determined by RBC Enterprises Ltd.

e) Council officer representation on the Operations Board will be determined by the Chief Executive or his deputy.

f) Insurance and indemnity be provided for Member and Officer representatives of the LLP.

g) it be noted that the LLP will be an additional option for the Council to use to deal with its property portfolio.

h) it be noted that further reports will be submitted to Cabinet in respect of relevant proposals to pursue property-related projects through the LLP.

Minutes:

The Portfolio Holder for Economic Growth and Business presented the report of the Executive Manager – Transformation and Operations proposing that the creation of a Limited Liability Partnership (LLP) between RBC Enterprises Ltd and PSP Facilitating Limited (PSPF). At its meeting in November 2017 Cabinet had resolved that officers explore the possibility that the Council enter into a Limited Liability Partnership with PSPF, (Minute No.31 2017/18). It was also noted that at its February 2018 Cabinet had approved a corporate structure and governance arrangements for the formation of RBC Enterprises Limited that could oversee all Rushcliffe Borough Council companies in the future (Minute No.44 2017/18).

The Portfolio Holder advised an LLP betweenRBC Enterprises Ltd and PSPF would provide the Council with an additional option over and above those currently available to it with regard to the disposal, sale, or development or other use of its assets in order to maximise income and opportunity. It was also noted that as part of its medium term financial planning the Council was always looking for ways in which to maximise its property assets. In addition the Council and its communities had aspirations to redevelop or enhance parts of the Borough’s towns and villages through the work of the growth boards, but that external funding may be needed to realise these ambitions. The Portfolio Holder advised that future projects were being considered such as redeveloping the site owned by the Council on Chapel Lane, Bingham that would enable the Council to uphold a vibrant economy within the Borough. The officer’s report contained full details of the proposed Limited Liability Partnership including governance arrangements and its infrastructure.

In seconding the recommendations Councillor Moore advised that forming a Limited Liability Partnership with PSPF would enable the further commercialism of the Council. Councillor Robinson advised that the Limited Liability Partnership offered sufficient potential advantages to the Council for the development of the partnership to proceed. Councillor Upton thanked officers for producing the report and believed that PSPF had the required expertise and experience of delivering successful projects to be a good partner for the Council.