SOUTH Hams Council has said it is not its job to get involved in the day-to-day running of the Dartmouth Business Improvement District.
Sonia Powell, the council’s support services team leader, said: ‘Our responsibilities are those of administration of payments and it is not for us to interfere in the daily operations or decision making.’
She was responding to a letter from Dartmouth MP Dr Sarah Wollaston asking for clarification over the council’s operating agreement with the BID.
Dartmouth businessman Gordon Anderson contacted Dr Wollaston because of concerns regarding the BID meeting its contractual obligations signed for in the original agreement.
He says he is continuing his fight for what he calls an open and transparent BID, since its board of directors went into ‘bunker’ mode.
Mr Anderson, of Alina Trade at Townstal, claims there has been no effective communication with levy payers since March.
‘You run the risk of being formally wound up as a company by being secretive, opaque and unresponsive to your levy payers concerns,’ he said in a letter to the BID.
‘You need to change tack and salvage a BID for retail and tourism in downtown Dartmouth.’
BID manager Alison Steere said the accounts would be published shortly.
‘The first year;s accounting period was extended to May 31, 2015, in order to coincide with the BID levy invoicing date,’ she replied in an email to Mr Anderson.
‘The accounts are required to be submitted to our accountant by September this year, however, we have already done so and are now waiting for their return which we anticipate will be at some point during the next eight weeks. At this point they will be published.’
But Mr Anderson said that was ‘unacceptable’.
Now Mr Anderson is asking for a meeting with Dartmouth councillors who represent the town on South Hams Council.
Mr Anderson said the BID was registered as a limited company in 2013 and obliged to adhere to the regulations of the Companies Act 2006.
‘Such Act was amended in 2009 to protect the rights of shareholders which allows five per cent of shareholders (levy payers) to call for an extraordinary general meeting to be held,’ he said.
‘Ten per cent of levy payers recently signed a petition calling for an extraordinary general meeting, but were denied their legal rights by the BID board.’
In a letter to Dartmouth district councillors Jonathan Hawkins, Hilary Bastone and Rosemary Rowe, Mr Anderson said: ‘As our local political representatives, can you advise us how to gain justice: for no officers at South Hams Council appear to want to address this mess?
‘Several businesses are seriously looking at relocating, which will only make more local people unemployed.’
Writing to Dr Wollaston on behalf of South Hams Council’s executive director Steve Jordan, Ms Powell said: ‘As Dartmouth BID have only been trading for just over one year, their first annual accounts are not due to be reported to Companies House until September 30, 2015.
‘Once these have been completed and submitted, they will be published in accordance with the agreement.
‘Regards shareholders rights, Dartmouth BID have advised that only fully paid up members who have registered with Dartmouth BID Ltd are entitled to vote.
‘The recently submitted petition contained a high proportion of signatures from levy payers who did not meet the voting eligibility rights due to non-registration and/or non-payment.’
Meanwhile, fellow BID campaigner Jim Bunting believes the BID should look and its moral obligation to hold an EGM.
‘The fact is, a large majority of shareholders certainly didn’t vote for BID’s business plan and have had no input whatsoever,’ he said.
‘If their work is not totally self-serving, why are they so afraid of a little democracy?
‘Nigel Way, the BID chairman, in his arrogance, believes that what is good for him and his friends is good for Dartmouth.
‘We, the shareholders, simply don’t agree that the end justifies the means and wish, by a shareholder vote, to see if we can readdress the balance democratically.’
An official working for the Department for Communities and Local Government’s High Streets and Town Centres team has told Mr Anderson they are looking into the transparency and accountability of BIDs generally and proposals will be published in the autumn.
Tahnia Ahmed said in a letter: ‘I am sorry to hear of the grievances you have towards Dartmouth BID.
‘Unfortunately, government cannot intervene outside of the 28-day period immediately after the ballot result announcement.
‘However, you may wish to know that the recent government review of business improvement districts looked at measures to strengthen BID transparency and accountability.
‘The consultation looked at proposals requiring BIDs to publish an annual report and accounts.
‘It also looked at mandating BID proposers to consult with businesses in a proposed BID area and requiring BIDs to notify each individual business in the BID area of the ballot outcome.
‘We are looking into the responses to the consultation, with a view to announcing the proposals in the autumn.’
Comparisons have been made between the Dartmouth BID and the one in Falmouth.
Richard Wilcox, Falmouth BID manager, this week clarified the situation saying: ‘Falmouth BID has not changed its boundary nor levy since it was voted in, in 2009.
‘Representing over 450 businesses, Falmouth BID operates on a one per cent levy and was renewed in November 2013, with an overwhelming 87 per cent yes vote, the strongest result for any BID in the region.
‘This meant a second five-year term commenced in April 2014.’
* Fresh summonses are being issued to businesses that have not paid their levy to Dartmouth Business Improvement District.
Sonia Powell, South Hams Council’s support services team leader, said the next court hearing date for unpaid amounts was Friday, August 28.
‘We will be issuing summons this week,’ she said.





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