Issue - meetings

To consider a report of the Cabinet Member for Reform & Governance.

(Note: the report includes information ‘not for publication’ in its appendices that have been circulated to cabinet members only)

The purpose of this report is to present a collaborative proposal produced by the finance officers of both the Council and Totally Local Company Ltd (TLC) for replacing TLC’s fleet of Heavy Goods Vehicles (HGVs) and light vehicles used for delivering the company’s services.  This will involve the Council providing a loan facility arrangement to facilitate and support implementation of this strategy.

A detailed business case was considered by the TLC board and subsequently the Contributor’s Committee on 6 September 2018.  The Contributor’s Committee gave its full endorsement to the strategy and the provision of financing by the Council.

The Cabinet is recommended to:

•      Support the Fleet Replacement Strategy; and;

•      Approve the provision of a loan facility to TLC to implement the strategy with the terms of individual tranches delegated to the Borough Treasurer in consultation with the Cabinet Member for Reform and Governance.

Contact: Michael Cullen, 0161 474 4631, michael.cullen@stockport.gov.uk

The Cabinet Member for Reform & Governance submitted a report (copies of which had been circulated) inviting the Cabinet to consider a strategy for the replacement of the Totally Local Company Ltd (TLC) fleet of Heavy Goods Vehicles through a state-aid compliant local facility arrangement between the Council and TLC.

(Note: the report included information ‘not for publication’ in its appendix that had been circulated to cabinet members only).

Cabinet Members welcomed the collaborative approach taken by the Council and TLC in developing the proposals.

RESOLVED – That support be given to the Fleet Replacement Strategy and approval be given to the provision of a loan facility to the Totally Local Company Ltd to implement the strategy with the terms of individual tranches being delegated to the Borough Treasurer in consultation with the Cabinet Member for Reform & Governance.

To consider a report of the Borough Treasurer.

(Note: the report contains information ‘not for publication’ in its appendices that have been circulated to committee members only)

The report present a collaborative proposal produced by the finance officers of both the Council and Totally Local Company Ltd (TLC) for replacing TLC’s fleet of Heavy Goods Vehicles (HGVs) and light vehicles used for delivering the company’s services.  This will involve the Council providing a loan facility arrangement to facilitate and support implementation of this strategy.

A detailed business case was considered by the TLC board and subsequently the Contributor’s Committee on 6 September 2018.  The Contributor’s Committee gave its full endorsement to the strategy and the provision of financing by the Council.

The Cabinet will be asked to:

•           Support the Fleet Replacement Strategy; and;

•           Approve the provision of a loan facility to TLC to implement the strategy with the terms of individual tranches delegated to the Borough Treasurer in consultation with the Cabinet Member for Reform and Governance

The Scrutiny Committee is asked to comment on this report.

Officer contact: Michael Cullen, 0161 474 4631, michael.cullen@stockport.gov.uk

The Borough Treasurer submitted a report (copies of which had been circulated) inviting the Scrutiny Committee to consider a proposal to replace TLC’s fleet of Heavy Goods Vehicles through a flexible, state-aid compliant loan agreement.

(Note: the report contained information ‘not for publication’ that had been circulated to scrutiny committee members only).

The Cabinet Member for Reform & Governance (Councillor Elise Wilson) attended the meeting to respond to questions from Councillors.

The following comments were made/ issues raised:-

·         Clarification was sought on how the replacement strategy linked to efforts to improve air quality. In response it was stated that the ‘agile’ approach being taken would allow TLC to respond to changing demands on services and well as technological and market improvements for low emission or electric HGVs. Councillors welcomed this.

·         Confirmation was sought that what was being proposed was an Evergreen loan facility. In response it was confirmed that this was the case and that it would facilitate the agility needed to respond to changing market conditions. It would also prevent flooding the market with used vehicles as the loan period came to an end.

·         Clarification was sought on whether brokers would be used in procuring vehicles. In response it was stated where vehicles were leased this was likely to be the case, but this would be subject to TLC’s procurement rules.

RESOLVED – That the report be noted.