Agenda item

The Chair invited the Monitoring Officer to outline the reasons for calling the Extraordinary Council meeting.

 

The Monitoring Officer outlined the reasons for calling the meeting. The Secretary of State’s consultation in relation to the Middlesbrough Development Corporation (MDC) would take place in February and March, but the Council’s views on the key issues were required at the earliest opportunity.

 

Assuming the order laid before Parliament on 6th February was successful, the MDC would come into being on 27th February. The next ordinary meeting of the Council was scheduled for 29 March 2023, which would be after the date that the MDC was due to be established. It was therefore considered imperative, that members were given the opportunity to give their views on the establishment of the MDC prior to 27 February.

 

The Executive Member for Regeneration presented a report, the purpose of which was to seek endorsement for a clear Council position on the formation of a Mayoral Development Corporation for Middlesbrough Town Centre and Middlehaven.

 

As part of the process of forming the corporation, the Council would be asked by the Secretary of State for Levelling Up, Housing and Communities for its views on a number of principles, which were set out in the report.

 

The report also sought endorsement to the transfer of a defined list of Council assets to the corporation in the event of its formation being confirmed.

 

The Executive Member advised that if any members had any questions in relation to the report, to email them direct to the elected Mayor.

 

The Chair invited members to comment or ask questions on the report.

 

Members commented on the report.

 

The comments included:

 

·        Concerns regarding the number of assets to be handed over to the MDC.

·        That the £18m of investment including £8m to transform Gresham should be handed over to Middlesbrough Council, regardless of whether the MDC was established.

·        Concerns that the plans could mean a loss of income for the Council which could result in it not being able to fund its services.

·        Concerns regarding the make up and the expertise of the proposed Board.

·        Queries whether the MDC was required, given the amount of regeneration that had already taken place in the town.

·        Concerns regarding planning control and the potential loss of planning fees.

·        Queries regarding when the detailed consultation information would be available.

·        Concerns regarding the lack of political balance on the Board

·        Concerns regarding what would happen to the assets once they were handed over to the Board.

·        Queries whether the people currently in control of the assets had been consulted.

·        Concerns about the bus station being included as part of the asset transfer.

·        Queries regarding whether any of the income from the MDC would be guaranteed.

·        A member stated that at the briefing meeting held for members regarding the establishment of the MDC, members had been advised that the money made by the TVCA as part of the MDC would be paid to the Council.

·        Concerns that the MDC did not have a planning officer.

·        Concerns regarding where any capital receipts and rents would be allocated.

·        Concerns regarding the amount of money to be paid for the assets.

·        Concerns regarding if the Council did not endorse the proposals that they would not be able to carry on with the regeneration of the town.

·        The development of the MDC represented a fantastic opportunity for the town and would unlock £18m investment in the town.

·        Transfer of assets could attract £4.9m per annum.

·        Concerns regarding attendance at members briefing held in relation to the MDC.

·        The Secretary of State would have the power to create the MDC regardless of the outcome of the vote.

·        The benefits of the creation of the MDC outweighed the disadvantages.

·        The creation of the MDC would bring progress and funding to the town.

 

The Chair invited the Monitoring Officer to conduct a vote in relation to the recommendations contained within the report.

 

Prior to the vote being taken, the Monitoring Officer clarified that the power of setting up the MDC rested with the Secretary of State. Members were being asked to endorse the proposed principles around the formation of the Mayoral Development Corporation, as set out in the report, to inform a response to the government consultation.

 

Following a vote, it was ORDERED that the Council do not endorse the proposed principles around the formation of the Mayoral Development Corporation, as set out in the report, to inform a response to the government consultation.