Decision Maker: Strategy and Resources Committee
Decision status: For Determination
Is Key decision?: No
Is subject to call in?: No
The reports sets out proposals for the
governance arrangements for the Local Authority Trading Company to
trade as Encompass, and the matters that will be reserved to the
Council as shareholder.
The committee considered a report outlining the governance arrangements for the proposed local authority trading company (LATC) following a decision by the committee in December to agree the business case. Members queried the legal costs for establishing the LATC and discussed how to ensure effective member oversight of the arrangements.
The Executive Head of Housing and Regeneration agree to write to Cllr David Hicks setting out the recruitment process for the external non-executive director.
1. That authority is delegated to the Opportunity Sutton Ltd Sub-Committee to act as the Shareholder Board for the LATC.
2. That the indicative framework of the LATC company documentation set out in the report is noted and delegates authority to the Opportunity Sutton Ltd Sub-Committee the finalisation of all documentation as necessary, including the articles of association, shareholder’s agreement, commissioning agreement and the service level agreements for ‘back-office’ services.
3. That authority is delegated to the Opportunity Sutton Ltd Sub-Committee for the establishment of a support service subsidiary and approvals incidental to the setting up of the subsidiary.
4. That the amendment to the governance structure in relation to the directors of the LATC as set out in paragraph 4.3 of the report be noted and that Simon Latham, non-executive director (LBS Internal), Nick Ireland, non-executive director (LBS internal), Michael Mackie, non-executive director (LBS internal), Roger Mills, non-executive director (external), 1 x non-executive director (external, to be appointed) 1 x LATC executive director (to be appointed) be appointed to sit on the LATC Executive Committee.
Report author: Simon Latham
Publication date: 21/07/2016
Date of decision: 11/04/2016
Decided at meeting: 11/04/2016 - Strategy and Resources Committee