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ANGUS COUNCIL

MINUTE of MEETING of the ECONOMIC DEVELOPMENT COMMITTEE held in the Town and County Hall, Forfar on Thursday 10 October 1996 at 4.50 pm.

Present: Councillors BRIAN MILNE, GEORGE ALLAN and IAN MACKINTOSH.

Apologies: Apologies were intimated on behalf of Provost Mrs FRANCES E DUNCAN and Councillors WILLIAM CROWE, JOHN GIBB and WALLIE LEASK.

Councillor MILNE, Vice-Convener, in the Chair.

1. MINUTE OF PREVIOUS MEETING

The minute of meeting of this Committee of 22 August 1996 was approved as a correct record and signed by the Chairman.

2. UNEMPLOYMENT STATISTICS

There was submitted Report No 839/96 by the Director of Planning, Transport and Economic Development providing various statistics, graphs and charts showing unemployment rates by travel to work areas, numbers and ages of unemployed, duration of unemployment and numbers of vacancies in Angus and neighbouring authorities.

After noting that the unemployment rate in Arbroath was 5% higher than the national average and having expressed disappointment at the rate of continued unemployment in the areas of Brechin North and South, and the Western Glens, the Committee agreed to note the Report.

3. THE BUSINESS SHOP ANGUS - "BEST MARKETEER" AWARD 1996

With reference to Article 4 of the minute of meeting of the Economic Development Committee of 18 April 1996, there was submitted Report No 831/96 by the Director of Planning, Transport and Economic Development giving information on proposals by the Business Shop Angus to hold its annual conference on Sunday, 24 November 1996 and on Angus Council’s proposed participation, by the award of a prize for "Best Marketeer".

The Report indicated that for the previous two years, under the aegis of Angus Enterprise Trust, the award scheme had been held successfully through the sponsorship of the Bank of Scotland and Angus District Council. Continuation of the award scheme by the Business Shop Angus would be a major promotional project and Angus Council’s support would not only assist the individual recipient of the award but also demonstrate the Council’s commitment to this form of partnership with Scottish Enterprise Tayside and the private sector. Costs would be met from the Departmental Revenue Budget for Marketing and Promotion.

The Committee agreed to homologate the action taken by the Convener of the Economic Development Committee, in conjunction with the Director of Planning, Transport and Economic Development, to approve the following arrangements in view of the urgent need to arrange timeous sponsorship of the award:-

(i) that Angus Council participate in the Business Shop Angus 1996 Enterprise Award Scheme presentation at the Annual Conference on 24 November 1996; and

(ii) that Angus Council sponsor an award called the "Angus Enterprise Award" for the "Best Marketeer", the recipient of which would be presented with an Angus Council cheque in the sum of £250 and a trophy.

4. ANGUS COUNCIL TRAINING SERVICES

(a) Provision of Information Technology Training Facility - Extension of Development Phase

With reference to Article 11 of the minute of the meeting of the Economic Development Committee of 28 February 1996, there was submitted Report No 829/96 by the Director of Planning, Transport and Economic Development informing of progress made on the establishment of the "in-house" information technology training and assessment facility and seeking an extension of the period of operation/review from 12 to 18 months, during which time the cost-effectiveness of this facility would be assessed.

The Report advised that the six month extension would assist the completion of a full and meaningful review of the facility. It would also necessitate an extension to the temporary contracts for training staff to ensure continuity of delivery of vocational qualifications.

The Committee agreed:-

(i) to the extension of the timescale for the review of the facility from 12 to 18 months; and

(ii) to a six month extension to the temporary contracts of one post of Training Co-ordinator and two posts of Training Instructor.

(b) Official Launch of Information Technology Training Facility

With reference to Article 11 of the minute of the meeting of the Economic Development Committee of 28 February 1996 and to (a) above, there was submitted Report No 828/96 by the Director of Planning, Transport and Economic Development proposing an official launch of the Training Services Information Technology facility to take place on 31 October 1996 at Arbroath Business Centre, Dens Road, Arbroath.

The Report set out the financial implications for the launch and advised that it would give Angus Council’s Training Services the opportunity to publicise the new service to local employers and other Angus Council Departments.

The Committee agreed:-

(i) to approve an official launch of the Training Services Information Technology facility be held on 31 October 1996; and

(ii) to note that agreement had been reached between Angus Council’s Training Services and the Education Department for the latter to rent a room within the Information Technology facility for use by the Training Unit.

5. TRADE MISSIONS

(a) Attendance at Offshore Northern Seas Exhibition at Stavanger, Norway

With reference to Article 13 of the minute of the meeting of Angus Council of 4 April 1996, there was submitted Report No 826/96 by the Director of Planning, Transport and Economic Development outlining the results of the Council’s representation at the Offshore Northern Seas (ONS) Exhibition, Stavanger, on 30 August 1996.

The Report concluded that the local companies attending the Exhibition had considered it successful and had valued the assistance which the Council’s officers were able to offer. A number of useful contacts had been made which included middle east investment groups and individual potential investors, although it would take some time for the realisation of potential projects.

The Committee agreed to note the contents of the Report detailing the success arising from attendance at the ONS Exhibition in Stravanger.

(b) Offshore South East Asia Conference and Exhibition 1996

With reference to Article 13 of the minute of the meeting of Angus Council of 4 April 1996, there was submitted Report No 841/96 by the Director of Planning, Transport and Economic Development summarising the Council’s participation at Offshore South East Asia (OSEA) Conference and Exhibition 1996.

The Report advised that five Angus companies had attended the Exhibition and were very pleased with its results. The Exhibition had highlighted considerable opportunity for trade with South East Asia not only in the oil and gas field, as it was evident that the economies of the countries in this area were growing rapidly. The contacts established by Angus Council at OSEA would prove very valuable to companies in Angus seeking to enter these markets.

The Committee agreed to note the contents of the Report and that the cost of attendance at OSEA had been considerably lower than originally estimated.

6. DUNDEE AND ANGUS OIL VENTURE GROUP - 3 YEAR PROGRAMME

With reference to Article 6 of the minute of meeting of the Economic Development Committee of 22 August 1996, there was submitted Report No 798/96 by the Director of Planning, Transport and Economic Development outlining the background to an application on behalf of the public sector partners of the Dundee and Angus Oil Venture Group for European Regional Development Fund Grant Assistance through the Small Medium Enterprise (SME) Initiative Operational Programme for Lowland Scotland.

The Report recommended that the Council commit to a three year programme of support to the Dundee and Angus Oil Venture Group, the estimated cost of which would amount to £70,640 over the period, but which could be adjusted subject to availability of finance. This would permit the Group to work towards achievement of its key objectives knowing that its public sector partners would continue to play a major part and enable those partners to maximise external funding.

The Committee agreed to approve, in principle, the three year programme of support for the Dundee and Angus Oil Venture Group as outlined in the Report.

7. TAYSIDE EXPORT FORUM - 3 YEAR PROGRAMME

With reference to Article 4 of the minute of meeting of the Economic Development Committee of 17 January 1996, there was submitted Report No 790/96 by the Director of Planning, Transport and Economic Development detailing the submission by the Tayside Export Forum partners for the Small and Medium Enterprise (SME) Initiative Operational Programme for Lowland Scotland European Regional Development Fund Grant Application.

The Report recommended that the Council commit to a three year programme of support for Tayside Export Forum. The Tayside Export Partnership, which was responsible for organising the Forum, should become the main avenue for the Council’s provision of export assistance to local companies. A commitment towards a three year programme for the partnership was essential both to provide stability to develop the role of the partnership and to maximise external funding.

The Committee agreed to approve the terms of the Report and to commit £2,000 per annum for the next three financial years towards achieving the key objectives of the Tayside Export Partnership.

8. ARBROATH ENTERPRISE PARK - MARKETING OF ADVANCE FACTORY

With reference to Article 10 of the minute of meeting of the Economic Development Committee of 28 February 1996, there was submitted Report No 818/96 by the Director of Planning, Transport and Economic Development advising that the 5,762 square metres (62,000 ft2) advance factory building being developed on behalf of Angus Council by Foxdown Properties Limited at Arbroath Enterprise Park would be substantially complete by the end of October 1996.

The Report provided an update on the marketing of the property carried out to date and sought authorisation to spend up to £20,000 from the developer’s "Sinking Fund" on promotion of the building during the remainder of the financial year 1996/97. As well as the benefit of accelerating the possible jobs which might be created by the attraction of an inward investor, there was a strong financial incentive for the Council in achieving an early letting of the building.

The Committee agreed:-

(i) to approve the marketing strategy for the advance unit as set out in the Report;

(ii) to authorise expenditure of up to £10,000 on advertising the property;

(iii) to authorise expenditure of up to £5,000 on a joint promotional initiative with Locate in Scotland; and

(iv) to authorise expenditure of up to £5,000 on various other promotional initiatives including direct mail and the production of aerial photography.

9. EXCLUSION OF PUBLIC AND PRESS

The Committee resolved, in terms of Standing Order No 27(2) that the public and press be excluded from the meeting during consideration of the following items so as to avoid the disclosure of information which was exempt in terms of Part 1 of Schedule 7A to the Local Government (Scotland) Act 1973, paragraphs 6, 8, 9 and 10.

10. ARBROATH ENTERPRISE ZONE - RE-PURCHASE OF SITE OF 0.408 HECTARES

There was submitted Report No 791/96 by the Director of Planning, Transport and Economic Development advising that an Aberdeen based tool manufacturer was currently in negotiation with the Council regarding a major expansion of its Arbroath subsidiary.

The Report indicated that, in order to partially finance the expansion, the company had asked that Angus Council should buy back the land which it had acquired from Angus District Council in 1994 as this was no longer required for the expansion option currently being pursued. The company had identified a unit on Kirkton Enterprise Park as a suitable expansion option but would be unable to submit an offer for the property unless it could sell the plot of land which it had purchased from the Council. The company’s subsidiary was one of the fastest growing firms in Arbroath and it was a matter of some concern that the development was being constrained due to lack of suitable premises for larger machining operations.

The Committee agreed to approve the company’s request that the Council should buy back the land which had been sold to the company in 1994 at the original sale price, subject to satisfactory terms and conditions being agreed by the Director of Property, and all the Council’s reasonable legal expenses being met by the company.

11. BROOMFIELD INDUSTRIAL ESTATE, MONTROSE - PROPOSED SALE OF SITE OF 0.504 HECTARES OR THEREBY

There was submitted Report No 725/96 by the Director of Planning, Transport and Economic Development advising that a company based at Broomfield Industrial Estate, Montrose had approached the Council with a view to purchasing additional land at Broomfield in order to expand its current premises.

The Report recommended the sale of the land to the company which, since 1984, had grown into one of the most significant employers in the Montrose area with an extremely strong market base throughout Scotland. The proposed expansion would safeguard employment at Montrose and facilitate the company’s long-term development plans.

The Committee agreed to remit to the Directors of Planning, Transport and Economic Development, and Property Services, and other appropriate officers, to conclude the sale of 0.504 hectares (1.25 acres) at Broomfield Industrial Estate, Montrose, as shown on the plan attached to the Report, at the price indicated in the Report, subject to the purchaser accepting the Council’s terms as set out in Section 4 of the Report and agreeing to meet the Council’s reasonable legal expenses and outlays.

12. ORCHARDBANK INDUSTRIAL ESTATE, FORFAR - LAND RATIONALISATION

There was submitted Report No 799/96 by the Director of Planning, Transport and Economic Development informing of development constraints which existed at Orchardbank Industrial Estate in Forfar. The Report made recommendations regarding the rationalisation of development on the estate to overcome these constraints, which would allow the major employer there to increase business capacity and employment significantly over the next two years.

The Committee agreed:-

(i) that the Directors of Planning, Transport and Economic Development and Property Services, and other appropriate officers, continue their negotiations with the various parties to secure the optimum layout to meet the needs of NOSWA and surrounding industrial concerns;

(ii) that the Council should meet the cost of the appointment of a surveyor to act on behalf of householders in negotiations to establish the current market value of the existing residential properties and associated property and land;

(iii) that negotiations be continued, on a tentative basis, to ascertain the terms of a re-sale of the residential properties to the adjacent owner for development for industrial purposes;

(iv) that assistance from Scottish Enterprise Tayside for the resultant project be sought; and

(v) that a further Report with detailed recommendations be brought back for approval in due course.

13. DENS ROAD INDUSTRIAL COMPLEX, ARBROATH - EXCHANGE OF CRANE CRAWLER FITMETS

There was submitted Report No 759/96 by the Director of Planning, Transport and Economic Development advising that a company had approached the Council with a view to exchanging the 15 tonne crawler fitment from the unit in Unit 6, Dens Road, for its own 7.5 tonne fitment, enabling it to win a major new contract. The Report requested homologation of the action of the Convener and Director to authorise the exchange of the crawler fitment for a consideration of £1,500 to compensate the Council for the reduction in value of its asset.

The Committee agreed to homologate the action taken by the Convener and Director to approve the company’s request, subject to the conditions set out in the Report.

14. UNIT 13, MONTROSE ROAD, BRECHIN - APPLICATION TO LEASE

On the determination of the Chairman, the Committee considered this item as a matter of urgency in view of the need for decision as soon as possible.

There was submitted Report No 885/96 by the Director of Planning, Transport and Economic Development advising that a Window Blind Company was seeking to lease Unit 13, Montrose Road, Brechin and recommending that the Directors of Planning, Transport and Economic Development, Property Services and Law and Administration be remitted to conclude the lease with the Company.

The Committee agreed:-

(i) to authorise the Directors of Planning, Transport and Economic Development, Property Services and Law and Administration to conclude the lease of Unit 13 at Montrose Road, Brechin with the Company; and

(ii) to authorise a rent free period of two months to cover the company’s fitting out costs.