Issue - meetings

RECOMMENDED that Council approve: -

(a)    An upfront grant of £2million to enable the Russell-Cotes to establish themselves as an independent organisation

(b)    Asset Transfer of the study centre, Exeter Road storage to the Charity (estimated value £500,000), subject to appropriate overage clause.

Note – resolutions (c) to (f) were resolved matters by the Cabinet.

Following her earlier declaration, Cllr L Northover left the meeting for the duration of the item.

Cllr O Brown left the meeting at 19:37.

Councillor Andy Martin presented the report and recommendations as set out on the agenda.

The proposal was seconded by Councillor Mike Cox.

Council moved to a vote where the motion as follows was carried.

RESOLVED that Council approve: -

(a)       An upfront grant of £2million to enable the Russell-Cotes to establish themselves as an independent organisation;

(b)       Asset Transfer of the study centre, Exeter Road storage to the Charity (estimated value £500,000), subject to appropriate overage clause.

Voting: For - 40; Against - 0; Abstentions – 9.

Note – resolutions (c) to (f) were resolved matters by the Cabinet.

In January 2023, Council voted to apply to the Charity Commission for the transfer of sole trusteeship from the Council to a new corporate entity, a Company Limited by Guarantee (CLG) to operate and manage the charity under Section 73 of the Charities Act 2011.

This report details the significant progress made in respect of identifying a mutually acceptable financial settlement between BCP Council as the existing Trustee and the new Trustee, subject to the Charity Commission scheme and Parliamentary Order of State.

RECOMMENDED that Council approve: -

(a)           An upfront grant of £2million to enable the Russell-Cotes to establish themselves as an independent organisation

(b)          Asset Transfer of the study centre, Exeter Road storage to the Charity (estimated value £500,000), subject to appropriate overage clause.

RESOLVED that Cabinet: -

(c)           Approved a one-off grant of £250,000 for building maintenance

(d)          Approved the transfer of earmarked reserves (currently £299,000 but subject to change prior to vesting date)

(e)           Delegates authority to the Director of Customer, Arts and Property to conclude the details of the transfer in consultation with the Director of Finance, Director of Law and Governance and Portfolio Holder for Customer, Culture and Communications; and

(f)            Request that the new CLG Board is encouraged to consult with the Portfolio Holder if there is consideration of disposal of assets and artefacts.

Voting: Unanimous

Portfolio Holder: Customer, Culture, Communications

Reason

To make financial provision to ensure that the governance change of the Russell-Cotes is financially and organisationally sustainable.

The Portfolio Holder for Customer, Culture and Communications presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'E' to these Minutes in the Minute Book.

Cabinet were informed that in January 2023, Council had voted to apply to the Charity Commission for the transfer of sole trusteeship from the Council to a new corporate entity, a Company Limited by Guarantee (CLG) to operate and manage the charity under Section 73 of the Charities Act 2011.

Cabinet were advised that this report detailed the significant progress made in respect of identifying a mutually acceptable financial settlement between BCP Council as the existing Trustee and the new Trustee, subject to the Charity Commission scheme and Parliamentary Order of State.

Members addressed Cabinet expressing concern with regards to the collection of assets and any potential future disposal and in relation to this a further recommendation was proposed at (f) to ensure consultation with the relevant Portfolio Holder should such a situation arise.

RECOMMENDED that Council approve: -

A.            An upfront grant of £2million to enable the Russell-Cotes to establish themselves as an independent organisation

B.            Asset Transfer of the study centre, Exeter Road storage to the Charity (estimated value £500,000), subject to appropriate overage clause.

RESOLVED that Cabinet: -

C.            Approved a one-off grant of £250,000 for building maintenance

D.            Approved the transfer of earmarked reserves (currently £299,000 but subject to change prior to vesting date)

E.            Delegates authority to the Director of Customer, Arts and Property to conclude the details of the transfer in consultation with the Director of Finance, Director of Law and Governance and Portfolio Holder for Customer, Culture and Communications; and

F.             Request that the new CLG Board is encouraged to consult with the Portfolio Holder if there is consideration of disposal of assets and artefacts.

Voting: Unanimous

Portfolio Holder: Customer, Culture, Communications

Reason

To make financial provision to ensure that the governance change of the Russell-Cotes is financially and organisationally sustainable.

In January 2023, Council voted to apply to the Charity Commission for the transfer of sole trusteeship from the Council to a new corporate entity, a Company Limited by Guarantee (CLG) to operate and manage the charity under Section 73 of the Charities Act 2011.

This report details the significant progress made in respect of identifying a mutually acceptable financial settlement between BCP Council as the existing Trustee and the new Trustee, subject to the Charity Commission scheme and Parliamentary Order of State.

The Chairman presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'B' to these Minutes in the Minute Book.

Public Report 

In January 2023, Council voted to apply to the Charity Commission for the transfer of sole trusteeship from the Council to a new corporate entity, a Company Limited by Guarantee (CLG) to operate and manage the charity under Section 73 of the Charities Act 2011.

This report details the significant progress made in respect of identifying a mutually acceptable financial settlement between BCP Council as the existing Trustee and the new Trustee, subject to the Charity Commission scheme and Parliamentary Order of State.

It was explained that the report has recommended passing ownership of the Study Centre from the Council to the new Trustee at zero cost but with an overage clause applied, which requires that if the new Trustee sells the property and there is an increase in value the Council will be able to share in the profit.

The proposal is due to be considered by Cabinet on 7^th Feb and officers were thanked for their work.

Conversations with the Charity Commission are ongoing, and officers are awaiting their response in order to develop a better understanding of the timeline particularly for the Parliamentary Order of State.

RESOLVED that Cabinet be requested to consider:

A.    An upfront grant of £2million to enable the Russell-Cotes to establish themselves as an independent organisation.

B.    Asset Transfer of the study centre, Exeter Road storage to the Charity (estimated value £500,000), subject to appropriate overage clause.

C.    A one-off grant of £250,000 for building maintenance

D.    Transfer of earmarked reserves (currently £299,000 but subject to change prior to vesting date)

E.    To delegate authority to the Director of Customer, Arts and Property to conclude the details of the transfer in consultation with the Director of Finance, Director of Law and Governance and Portfolio Holder for Customer, Culture and Communications.

Voting: Unanimous