Issue - meetings

-      Report to follow

The Bereavement Services Manager submitted a report to consult Members on the available options for the future management of Chesterfield Crematorium, including the potential to establish a company.

The options that were available for consideration were outlined in the report which included:

·        Reduce fees to ensure a surplus is not made

·        Outsource to a private operator

·        Operate as a social enterprise

·        Operate as a wholly owned company

The report noted that specialist legal advice had been sought from an external solicitor, Freeths LLP, and the legal report from the solicitor was included as an appendix to the report. Further legal advice, at an additional cost, would need to be sought to move forward with the creation of a wholly owned company.

A financial report from accountancy firm Mazars LLP was included with the report which focussed on the VAT and other tax implications if the Crematorium was transferred out of Local Authority control.

The report outlined the human resources, people management and financial implications of the options that were considered. The proposals had been discussed at the Joint Crematorium Committee, Joint Board and the Cabinets of the three constituent authorities.

Councillor Lilley voted against the recommendations.

RESOLVED –

1)   That the establishment of a Council owned company for the future operation of the Chesterfield crematorium, with the new company articles and shareholders agreement based on the “sharing agreement” agreed by the three councils in 2003 which specified the arrangements for dealing with member representation, the calculation and distribution of surpluses and deficits as well as any other relevant matters, be supported.

2)   That further expenditure in respect of legal advice for the establishment of the Council owned company be approved.

3)   That, following consideration of all the options available, a recommendation be made, in line with legal advice received, to each of the authorities’ cabinet meetings for the approval of the establishment of a Council owned company and to outline the necessary legal and governance arrangements.

REASON FOR DECISION –

1)   To allow the project to be suitably considered by the Joint Crematorium Committee and the preferred recommendation made to constituent authorities.