Issue - meetings

Executive Member for Finance and Governance and the Director of Finance submitted a report for Executive’s consideration.

The purpose of the report was to seek approval for revision to the Asset Disposal Policy that further clarified the process for claiming community benefit contributions and ensured that expenditure linked to this was limited to local authority direct or procured provision only.

Middlesbrough Council held a significant asset portfolio that was used to deliver services, support businesses and contribute to the well-being of the Town.

The acquisition and disposal of assets was essential to enable the Council to update its asset portfolio to meet the changing needs of Middlesbrough.

The Asset Disposal Policy set out a comprehensive framework and governance structure for the disposal of the Council’s land & property assets. 

Operation of the Policy ensured that all disposals had clear objectives, decisions were made based on full information and that there was a full audit trail leading to any disposal. 

The standing Council Asset Disposal Policy was approved by Executive in April 2021.

In some circumstances, an asset that was disposed of may have attracted a price that was considered to be in excess of open market value, and as such, amendments had previously been made to the Asset Disposal Policy to allow local communities to benefit should such circumstances arise.   

OPTIONS

Do nothing - The Asset Disposal Policy would remain unchanged, and any assets disposed of above market value would have a positive impact in terms of an enhanced capital receipt.  However, the Council was committed to locality working and the revisions proposed were an opportunity to further stimulate investment at ward level.

ORDERED

That Executive approve revisions to the Asset Policy that:-

1.     Further clarified the process for claiming community benefit contributions; and

2.     Ensured that expenditure was limited to local authority direct or procured provision only.

REASONS

To ensure that the Council continued to have an asset disposal process which was responsive, fit for purpose and allowed the Council to clearly demonstrate Value for Money in relation to the disposal of council owned assets, but also a policy that reflected support to local communities.