To approve the revised joint agreement following consultation with Shropshire Council, the Borough of Telford and Wrekin and Worcestershire County Council.

The cabinet member for infrastructure introduced the report. He noted the efforts of council officers to review and improve the governance arrangements for the joint purchasing operation.

The head of environment and waste services summarised the report and highlighted the key governance changes. The changes proposed would bring the governance arrangements in line with the latest regulations and decisions would be subject to scrutiny by each of the member authorities.

In response to a question from a group leader the monitoring officer confirmed that the report had not been to the audit and governance committee as that committee’s role was to seek assurance on the revised arrangements rather than to determine them.

A group leader requested that minutes of the joint committee be made available on the Herefordshire council website rather than just on the Shropshire Council website as the lead authority. The cabinet member for infrastructure confirmed this would be explored.

A group leader asked what opportunities the revised arrangements could open up for WME and its owners. The cabinet member for infrastructure stated that the council would receive a proportion of any surplus arising from transactions with the member authorities and an equal share of any accumulated surplus generated by transactions with non-member authority customers.

In response to a query from a group leader the cabinet member for infrastructure reported that all four member authorities were very engaged with the joint purchasing operation but that Herefordshire council had particularly pushed for the proposed governance changes.

The leader thanked officers for the time invested in producing the revised joint agreement.

Resolved that:

a)    the revised joint agreement at appendix 1 setting out the role, functions and terms of reference for the joint executive committee overseeing the strategy and direction of West Mercia Energy (WME) joint purchasing operation be approved; and

b)    the assistant director communities be authorised to agree with the other constituent authorities any further amendments to the Joint Agreement required, following consultation with the cabinet member, prior to completion and to complete the necessary deeds of variation on behalf of the council.