1st October 2014 SUBJECT: Freedom of Information Requests Dear Carl I am writing in response to your Freedom of Information request of 4th August 2014. Please accept our apologies for the delay in responding. Your request and the councils response is as follows: Money and Resources Spent By The Council On Salix Homes Bid To Take Over Social Housing I would like to know how much of council funding has been spent on advertising and organising the proposed change of hands of social housing stock to Salix Homes. This should include.. All costs for advertising and promotional services such as leaflets etc. The council has produced two leaflets this financial year, posters to remind people about the offer document and two pull up stands. The total costs for these (including delivery) are £ 4355. Please note that this does not include the costs of the ‘offer document’ that is a statutory consultation document (not advertising or promotion). A further leaflet has been produced at the cost of £315. All costs for legal services, either in house or external The legal costs spent to date are £28,978.75. The current market value of the entire property stock portfolio being transferred and details of any monies received from the transfer if applicable. The net book value of the full housing stock is included within the draft statement of accounts 2013/14 (page 110) salford.gov.uk/d/SCC_statement_of_accounts_1314_pre_audit.pdf The council’s accounts for (year) state that the value for all of the social housing stock is £260m. However, this figure is known as a ‘book value’ and does not take into account: • The split of the stock between the PFI scheme and the present transfer proposal • A small number of properties scheduled for demolition • The known stock condition survey obligations • And, of course, this valuation methodology does not take into account the council’s HRA debt No monies have been received from the transfer to date. The total price offered by Salix for the social housing property portfolio. The above information is considered to be exempt information under section 43 (2) of the Act, which provides an exemption in respect of information where its disclosure would be likely to prejudice the commercial interests of any person, for the reasons set out below. Salix Homes submitted a bid that was compared to the other bidders. However, the final detail of the legal agreement between Salix Homes and the council is still to be finalised. Therefore, it is not appropriate to release this information at this stage as it could disadvantage the council commercially in terms of finalising the legal agreement and commercial aspects of the transfer agreement. As section 43 (2) is a qualified exemption, the council must weigh up the public interest in maintaining the exemption versus disclosing the information. The council acknowledges that there is a public interest in accountability and transparency of decisions made and the spending of public money. The council has decided that the public interest in this case falls in favour of withholding the information and protecting the commercial interests of the organisation appointed and those of the Council. Details of any councillors or council members who currently have secondary employment by Salix homes either as sitting on the board of employed to do a job by them. The Council can confirm that Councillors Connor, Murphy and King sit as council nominees on the Salix Homes Board. How many offers were made and considered for the take over of the housing stock and if applicable whom by. In answer to your request, the council can confirm that three offers were made to be the preferred landlord. However, in respect of who the companies were the council considers that the information you have requested is exempt information under section 41 (1) and section 43 (2) of the Act. These provide exemptions from the right to know in respect of information which is provided in confidence and where disclosure of information may prejudice commercial interests. Companies who have bid for but not been awarded contracts by the council would not expect the council to publicise the fact that they have bid unsuccessfully for particular work. As such, the council considers that the exemption at section 41 (1) of the Act applies in that disclosure of the information would amount to an actionable breach of confidence. The council considers it has fulfilled your Freedom of Information request. If you are dissatisfied with the way your request has been handled, or wish to appeal this decision, you may wish to contact David Hunter, Assistant Director, ICT, Customer and Support Services Directorate; email: [email protected]
Posted on: Thu, 02 Oct 2014 21:48:17 +0000
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