Issue - meetings

To consider a proposal to admit a third shareholder and to agree associated changes to the Joint Venture Shareholder Agreement (“JVSA”) (Report of Deputy Leader of the Cabinet and/or Executive Director - Commercialisation (S151 Officer) enclosed).

(Please note that the appendix to this report is not for publication by virtue of Paragraph 3 (Information relating to the financial or business affairs of any particular person (including the authority holding that information)) in Part 1 of Schedule 12A of the Local Government Act 1972, and is therefore attached to this agenda as item 18).

Consideration was given to the report of the Deputy Leader of the Cabinet and the Executive Director Commercialisation (S151) which asked the Council to consider a proposal to admit a third shareholder and to agree associated changes to the Joint Venture Shareholder Agreement (“JVSA”).

Members noted that the report contained a confidential appendix, which was not for publication by virtue of Paragraph 3 (Information relating to the financial or business affairs of any particular person (including the authority holding that information)). However, members agreed that Council could consider the report without going into the detail included within the appendix, and there was therefore no need for the meeting to go into private session for this item.

The report was presented by the Portfolio Holder for Finance, Strategy and Partnerships. 

Members requested that regular, informal updates on progress be provided as the proposal moved forward, and the Portfolio Holder for Finance, Strategy and Partnerships confirmed that this would happen.

DECISION:

To the extent that these were non-executive functions, the Council approved the following and, to the extent that the same were executive functions, the Council recommended to the Leader:

a)    That, subject to approval of East Lindsey District Council (“ELDC”) and the Board of PSPS, and subject also to (2), (3), and (4) below, the Council approves admitting Boston Borough Council (“BBC”) as a Shareholder in PSPS with an allocation of 240 shares.

b)    That legal due diligence be conducted to establish whether there were any extraordinary risks to the Council and delegated authority be granted to the Executive Director – Commercialisation (s151 Officer), in consultation with the Deputy Leader of the Cabinet, to determine whether the level of risk was acceptable

c)    That the JVSA together with any associated contractual documents be amended or created as necessary, including the making of provision for a potential future fourth Shareholder, and that delegated authority be granted to the Executive Director – Commercialisation (s151 Officer), in consultation with the Deputy Leader of the Cabinet, to approve and sign such revised or new documentation

d)      That the Leader completes any necessary company shareholder decisions required under the Companies Acts.