Report by Director of Resources and Deputy Chief Executive (attached)

The Committee considered a report by the Director of Resources and Deputy Chief Executive (circulated previously) regarding North Devon Council Corporate Strategies.

The Director of Resources and Deputy Chief Executive highlighted the following:

·         Members approved the Commercialisation Strategy in November 2020 and this report provided a refresh of the Commercialisation Strategy with an Asset Management Strategy sitting alongside this.

·         A new Housing Strategy was to be consulted on and would be presented to Members at a future date.

·         The first budget workshop had taken place and gaps in the budget were highlighted to members along with the need to focus on finding further revenue streams.

·         Members had taken the first step towards the Council’s financial security by approving the purchase of Green Lanes shopping centre.  The purchase of Green Lanes shopping centre was a once in a lifetime opportunity to acquire this strategic asset and complement other significant regeneration improvements being delivered within the Barnstaple town centre through the Future High Streets project.  The financial modelling demonstrated that revenue income generated from the centre would cover both the repayment of the load and asset management costs and would return a contribution to the Council which could be used towards mitigating future risks on income volatility, investment back into the centre and the overarching council budget.

·         Asset Management Strategy

·         The Council currently held £143million of assets within its balance sheet; a large proportion of these being land and property related, section 4.10 of the report detailed the breakdown of figures of this total of £143million.

·         The Asset Management Strategy sat alongside and complemented the Commercialisation Strategy.  The fundamental basis for the Asset Management Strategy was to:

Ø  Maintain and improve our asset base;

Ø  Support service provision;

Ø  Maximise the value and performance of our estate;

Ø  Invest to save;

Ø  Invest to generate revenue and capital growth; and

Ø  Invest to promote other services and opportunities – whether for economic, social or environmental benefit.

·         We need to encourage staff to employ our management behaviours to actively seek out opportunities outside our day-to-day activities and find creative delivery mechanisms to achieve our goals.

·         The Asset Management Strategy had five overarching objectives:

i.              To generate new and additional income via property and land to complement the Council’s medium term financial plan.  To use our assets to optimise returns and look for new income generating opportunities.

ii.            To plan and manage property as a corporate resource to deliver against NDC’s Corporate Plan priorities, as detailed in section 1.1 of the report, in a balanced way.

iii.           To assess potential enhancement in asset value and identifying how investing allows us to influence within our district.

iv.           To contribute positively to support growth of employment or provision of good quality homes to help assist housing needs through the strategic use of the Council’s assets.

v.            We will use our land and buildings in order to build attractiveness for visitors; strengthen the economy; and strengthen community values.

·         Using this structure would enable us to determine how we work, where we work, who we work with and influence how we take investment decisions in relation to property.

·         The Asset Management Strategy could be found at Appendix B of the report.

·         Housing Strategy

·         The draft Housing Strategy had been based around three themes: (1) Prevent Homelessness; (2) Provide New Housing Supply; and (3) Make Homes Healthy all of which sets out what we have done so far and what more we can do.

·         An informal briefing had been scheduled for the end of November 2024, for Members to finalise the draft strategy ahead of going out to consultation.

·         A list of identified Stakeholders to be consulted with could be seen at section 4.27 of the report.

·         Capital business cases relating to individual projects would come forwards separately as part of the normal funding application process.  These would be scored through the Project Appraisal Group (PAG) accordingly and proceed to Members for approval.

·         Delivery against the Commercialisation Strategy, the Asset Management Strategy and the Housing Strategy would be reported to Members though the programmes and quarterly performance reports to Strategy and Resources Committee, Policy and Development Committee and Full Council meetings.

RECOMMENDED to Full Council:

(a)  That within the context of the financial parameters the Council is currently working within, the Commercialisation Strategy, as set out at Appendix A of the report, be adopted;

(b)  That the Asset Management Strategy, as set out at Appendix B of the report, be adopted; and

(c)  That a consultation is commenced on the draft Housing Strategy and those three emerging themes of: (1) Prevent Homelessness; (2) Provide New Housing Supply; and (3) Makes Homes Healthy; and that such consultation is carried out in Quarter 4 of 2024/25, for a six-week period using Engagement HQ and social media.  This consultation will be aimed at a wide range of stakeholders, as set out in section 4.27 of the report, be adopted.