Issue - meetings

To receive an update on the changes to the Outline Business Case, and to authorise its resubmission to the Homes and Communities Agency (HCA).

N.B: If you wish to see a full copy of this document please contact Lynn Glendenning  tel:01270  375349 or by email to  lynn.glendenning@cheshireeast.gov.uk for further information.

Consideration was given to a report on the changes made to the Outline Business Case following discussions with the Home and Communities Agency (HCA) in response to their requests for additional information in advance of the resubmission of a final Outline Business Case. 

The key developments which affected the Outline Business Case since its original submission were:

·        an increase in PFI credits from £59.9 million to £66.1 million, which was considered essential to ensure affordability

·        a reduction in the number of units from 400 to 300, still retaining the 200 PFI units to ensure planning obligations were met and to respond to the changes in the housing market and the appetite of developers to provide for sale/shared ownership units

·        a combined contribution of up to £300k per annum from the Councils would be required, which has already been agreed by both Councils

·        removal of any cross subsidy from development units

·        a significantly improved position in relation to deliverability as outline planning permission had been secured on two sites, with a high likelihood of success on the remaining sites

·        an agreed and working set of governance arrangements, and a well developed inter authority agreement

The resubmission of the Outline Business Case would allow the Councils’ interests in the extra care PFI to be considered by the HCA prior to a decision later in the year.

RESOLVED:

That the resubmission of the Outline Business Case to the Home and Communities Agency be authorised.