Approval of the provision of accommodation to reduce homelessness - DEC18/CMDN/59
Decision Maker: Cabinet Member for Resources
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
The Cabinet Member, in consultation with the Leader of the Council and Deputy Mayor of the Cambridgeshire and Peterborough Combined Authority:
1. Approved the purchase of up to 50 homes from the open market inside and nearby Peterborough to a total value of £10m, funded from the Invest to Save Budget, to provide temporary accommodation and homes for affordable rent to meet demand from homeless households in the Peterborough administrative area.
2. Delegated to the Director of Law and Governance the authority to finalise and put in place any agreements and legal documentation needed to give effect to these proposals, in consultation with the Corporate Director of Growth and Regeneration and the Acting Corporate Director, Resources.
3. Delegated to the Director of Growth and Regeneration the authority to spend up to a total acquisition cost of £500k per property (in respect of this programme only) including stamp duty, professional fees and disbursements, subject to the requirements and processes set out in the business case attached as an appendix to this report.
Appendix 1 is NOT FOR PUBLICATION in accordance with paragraph (s) 3 of Schedule 12A of Part 1 of the Local Government Act 1972 in that it contains commercially sensitive information relating to the business affairs of the Council. The public interest test has been applied to the information contained within the exempt annex and it is considered that the need to retain the information as exempt outweighs the public interest in disclosing it.
Reasons for the decision:
6.1 Continuing to provide temporary accommodation in the current way through the use of B&B accommodation at the current rate is not financially sustainable for the Council nor does it provide an appropriate long term solution for homeless households. The proposals set out in this report will enable the Council to take greater control over the provision of accommodation for homeless households.
Alternative options considered:
7.1 Do nothing
This option was discounted as the Council needs to provide additional homes for households in need of affordable housing as well as a stock of Temporary Accommodation to reduce to a minimum the number of households living in Bed and Breakfast accommodation. Cabinet has allocated approved the use of Invest to Save budget for the provision for accommodation for homeless households, subject to the submission of an acceptable business case.
7.2 Award funding to Medesham Homes or another housing provider
This option was considered. However, as the Council is able to hold properties in its General Fund for the purposes of providing temporary accommodation there are arguments based on best value considerations and procurement risks that make purchase and ownership by the Council itself the recommended option.
Interests and Nature of Interests Declared:
11.1 Appendix 1 – Business Case for the strategic acquisition of the properties (Exempt)
Publication date: 04/12/2018
Date of decision: 04/12/2018
Effective from: 08/12/2018