Agenda and minutes

There were no declarations of interest.

The minutes of the meeting held on 14 July 2022 were confirmed as a correct record.

Janet Scholes, the Interim Director of Property presented the annual review for the financial year 2022-23 in respect of the three joint ventures, Concertus Derbyshire Limited (CDL), Vertas Derbyshire Limited (VDL) and Develop Renew.

The 2022-23 year represented a period of change for both the Council and the Joint Ventures. A new senior management team within Corporate Property had been formed and there was recognition that the Director of Property had a dual role with the Joint Ventures; as a board member and as the voice of the customer. An adjustment had been made and the Executive Director of Place had replaced the Director of Property on the Joint Venture board. This adjustment would allow the Director of Property to focus on being the voice of the Council and the customer.

Matthew Self, on behalf of Concertus delivered a presentation outlining key aspects of the work that they had been carrying out over the past twelve months and highlighted the following:

-        The unaudited financial position for 2022-23 was a turnover of £5.01m and a margin of £963k.

-        New works won - £1.33m. Client diversification into District and Borough Councils; Multi Academy Trusts and One Public Estate.

-        Revised procurement strategy with DCC to align with industry best practice utilising construction frameworks.

Karen Burrowes, on behalf of Vertas delivered a presentation outlining key aspects of the work that they had been carrying out over the past twelve months, these included:

-        £365k had been invested in VDL plant, machinery and equipment by the end of the 2023 financial year.

-        A profit of £455k in the financial year 2022-23

-        Since the start of the joint venture, new business wins with Multi Academy Trusts in cleaning in excess of £1.25m and grounds in excess of £50k.

-        Launch of the new Customer First Helpline.

It was proposed that 30% of retained earnings were paid as dividend to leave capital in the joint ventures for working capital and investment. Broadly the dividend across the CDL and VDL joint ventures was £400k.

Future meetings of the Committee will be scheduled to align with the production of the companies’ half-yearly accounts to enable them to be scrutinised and considered by the Members prior to their submission to Companies House. On that basis, future meetings will be held in early November and early May.

RESOLVED that the Committee notes the content of the report and the presentations on the activities of Concertus Derbyshire Limited and Vertas Derbyshire Limited.