Issue - meetings

Waste Partnership PFI Refinancing

Meeting: 16/07/2019 - Cabinet (Item 49)

South Tyne and Wear Waste Management Partnership PFI Contract

Report of the Acting Strategic Director, Communities and Environment and Strategic Director, Corporate Resources

Minutes:

Consideration has been given to proposed changes to the funding arrangements on the Council’s Waste PFI Contract.

 

RESOLVED -            (i)         That the principle of South of Tyne and Wear                                                    Energy Recovery Limited revising their funding                                                             arrangements in accordance with the provisions                                               contained within the PFI contract be approved.

 

                                    (ii)        That the Strategic Director, Corporate Resources                                             be given delegated powers to approve the                                                         revisions to the financial model and funding terms,                                               including the calculation of the gain for the                                                      Partnership in consultation with the S151 Officers                                            from Sunderland and South Tyneside Councils                                                             and in accordance with advice from external                                                  financial consultants, Local Partnerships LLP.

 

                                    (iii)       That the Strategic Director, Corporate Services                                                 and Governance be given delegated powers to                                                 approve and agree any revisions to the contractual                                         documentation necessary to reflect the changes to

                                                the funding terms in accordance with advice from                                             external legal consultants, Pinsent Masons

                                                LLP.

 

                                    (iv)       That the Strategic Director, Corporate Services                                                 and Governance be given delegated powers to                                                 execute the variation agreement and other                                                      necessary documentation as is required to give                                            effect to the above decisions, so far as such power                                          is not already delegated by the Council’s                                                            constitution.

 

The above decisions have been made to deliver a revenue saving for the Council by reducing the financing costs associated with the Council’s Residual Waste Treatment Contract.