Minutes of Meeting of the Resources Committee held in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Wednesday, 5 October, 2011 at 10.30 am.
Present:
Mrs C Wilson, Ms L Munro, Mr R Greene, Mr P Cairns, Dr D Alston, Mrs I McCallum, Mr A Henderson, Mrs H Carmichael, Mr D Hendry, Miss J Campbell, Mr N Donald, Mr J Ford, Mrs G Sinclair, Mr G Marsden
Non Members also present:
Mr D Mackay, Mr B Fernie, Mr R Durham, Mr A Rhind, Mrs A MacLean, Mrs M Paterson, Mr B Clark, Mr E Hunter, Mr S Black, Mr D Fallows, Mr G Rimell
Officials in attendance:
Mr S Barron, Depute Chief Executive/Director of Housing and Property
Ms M Morris, Assistant Chief Executive
Mr B Alexander, Director of Social Work
Mr D Robertson, Chief Financial Officer
Mr D Lamont, Head of Exchequer and Revenues, Finance Service
Mr A Maguire, Head of Property Partnerships, Housing and Property Service
Mr G Bull, Corporate Property Asset Manager, Housing and Property Service
Mr E Boyd, Principal Engineer, Housing and Property Service
Mr A Lumsden, Programme Manager, Housing and Property Service
Mr J Batchelor, Head of Personnel, Chief Executive’s Service
Mrs C Christie, Employee Development Manager, Chief Executive’s Service
Ms V Nairn, Head of E-Government, Chief Executive’s Service
Mr J Grieve, Corporate ICT Manager, Chief Executive’s Service
Miss E Barrie, Personnel Manager (Operations), Chief Executive’s Service
Mrs K Lackie, Business Manager, Chief Executive’s Service
Mr A Gunn, Head of Business Support, Finance Service
Mr G Summers, Principal European Officer, Chief Executive’s Service
Mr B Porter, Finance Manager, Finance Service
Mr D Scott, Project Manager, Corporate Improvement Programme
Mr B Murison, Income and Recovery Manager, Finance Service
Mrs R Moir, Principal Administrator, Chief Executive’s Service
Mr A MacInnes, Administrative Assistant, Chief Executive’s Service
Also in attendance
Mr M Satchithananda, Account Director, Fujitsu
*An asterisk in the margin denotes a recommendation to the Council. All decisions with no marking in the margin are delegated to the Committee.
Mrs C Wilson in the Chair
1. Apologies for Absence
Apologies for absence were intimated on behalf of Mr R Rowantree, Mr D Bremner, Mrs D MacKay, Mr M Rattray, Mrs M Davidson, Mrs P Munro, Mr P Corbett, Mr B Wynd, Mr S Park and Dr M Foxley.
2. Declarations of Interest
The Committee NOTED that there were no declarations of interest expressed.
3. Successes
Members were reminded that the Highland Council was committed to the Delivery of Excellent Customer Service and encouraged all front line staff to achieve a customer service qualification. Within Customer Services the Customer Service Assistants were supported and coached through the award level by Employee Development, with line management support. Service Point Officers were supported and coached through the Certificate level of the qualification. Members were advised that Jane Ross worked part time as a Customer Services Assistant in the Service Centre. Jane had completed both the Award and the Certificate in record time, achieved exceptionally high scores and demonstrated motivation and commitment to a very high degree, including using her own funds to progress through the certificate level, as this was usually aimed at Customer Service Officer level development. Jane had shown resilience and determination in fulfilling the requirements of the qualification and a true dedication to the delivery of excellent customer service to the Council’s customers.
The Committee congratulated Jane Ross on her success.
4. Central Services Revenue Budget Monitoring
(a) Chief Executive’s Service and Members Revenue Expenditure Monitoring to 31 August, 2011
There had been circulated Report No. RES-104-11 (36kb pdf) dated 28 September 2011 by the Chief Executive providing information on the revenue monitoring position for the Chief Executive’s Service for the period 1 April 2011 to 31 August 2011.
The Committee NOTED the revenue monitoring report for the period 1 April 2011 to 31 August 2011 and APPROVED the actions being taken to manage pressures and achieve a balanced budget by the end of the financial year.
(b) Finance Service Revenue Monitoring 2011/12
There had been circulated Report No. RES-105-11 (82kb pdf) dated 23 September 2011 by the Chief Financial Officer providing information on the revenue monitoring position for the Finance Service for the period 1 April 2011 to 31 August 2011.
The Committee APPROVED the Finance Service Revenue Monitoring Report for the period to 31 August 2011.
5. Property Revenue Maintenance Budget 2011/12 Monitoring Statement to 5 September 2011
There had been circulated Report No. RES-106-11 (25kb pdf) dated 26 September 2011 by the Depute Chief Executive/Director of Housing and Property Services setting out the current position with regard to the component parts of the 2011/12 Property Revenue Maintenance Budget for the period 1 April 2011 to 5 September 2011.
The Committee NOTED the current position with regard to progress with the 2011/12 Property Revenue Maintenance Budget.
6. Corporate Revenue Monitoring Statement to 31 August 2011
There had been circulated Report No. RES-107-11 (55kb pdf) dated 26 September 2011 by the Chief Financial Officer presenting the revenue budget monitoring position for the period 1 April 2011 to 31 August 2011 and the projected year end position.
The Committee AGREED the Revenue Expenditure Monitoring Statement for the financial year 2011/12 which showed a predicted net overspend of £0.775m.
7. Chief Executive’s Service: Capital Budget Monitoring Report to 31 August 2011
There had been circulated Report No. RES-108-11 (56kb pdf) dated 28 September 2011 by the Chief Executive setting out the monitoring position for the Chief Executive’s Service capital budget for the period to 31 August 2011.
Reference was made to the high risk of underspend in the ICT Investment Budget because of delays in the telephony project within the new ICT contract. Members expressed their disappointment that this was another part of the ICT contract that had not yet been delivered for the Council.
The Committee NOTED the position of the Chief Executive’s Service Capital budget for the period 1 April 2011 to 31 August 2011.
8. Property Capital Budget 2011/12 - Programme Monitoring to 31 August 2011
There had been circulated Report No RES-109-11 (59kb pdf) dated 26 September 2011 by the Depute Chief Executive/Director of Housing and Property providing the current position with regard to the component parts of the 2011/12 Property Capital Programme for the period 1 April 2011 to 31 August 2011.
The Committee NOTED the current position with regard to progress with the 2011/12 Property Capital Programme.
9. Corporate Capital Monitoring Report to 31 August, 2011
There had been circulated Report No. RES-110-11 (39kb pdf) dated 26 September 2011 by the Director of Finance providing an overview of the General Fund and HRA capital programmes for the period 1 April 2011 to 31 August 2011 and the projected year end position.
Reference was made to the anticipated year end underspend of £4.468m in the Capital Programme. It was suggested that some of this underspend could be used to bring forward the provision of Biomass Boilers to Schools. Investment in such Renewable Energy projects now could produce significant returns over the lifetime of the Boilers (as much as £8m) as a result of the Government’s proposed Renewable Heat Incentive Scheme, and in addition savings would be achieved from reduced costs of energy consumption and carbon reductions. It was expected that an announcement on the Government’s Renewable Heat Incentive Scheme was due soon and, subject to confirmation of this, it was recommended that proposals be submitted to Council to bring these projects forward.
The Depute Chief Executive/Director of Housing confirmed that, if Council was minded to do so, there were approved Renewable Energy projects in the Capital Programme for 2012/13 and 2013/14 that could be brought forward to the current financial year, and work was underway to submit proposals to the next meeting of full Council on this issue.
The Committee:
i. NOTED and AGREED the financial position of the General Fund and HRA
capital programmes as at 31 August 2011; and
ii. NOTED that, in order to utilise the underspend in the current year’s Capital
Programme, work was being undertaken to bring forward Renewable Energy
projects, it being expected that a report seeking approval for this would be
submitted to the next meeting of the full Council.
10. Treasury Management: Summary of Transactions
There had been circulated Report No. RES-111-11 (62kb pdf) dated 23 September 2011 by the Director of Finance providing details of the Treasury Management transactions for the period July and August 2011.
In response to a query, Members were advised that the Treasury had announced that it would be reducing the rate offered to local authorities by the Public Works Loan Board (PWLB). This reduced interest rate would be available for borrowing from the PWLB to establish the new local self-financed Council housing system which would replace the Housing Revenue Account subsidy system. The Treasury and the Department for Communities and Local Government were implementing this temporary reduced rate to support the one-off adjustment to each local authority’s local housing debt. The Treasury had said that the overall borrowing rate for local authorities offered by the PWLB would be kept under review.
Members were advised that clarification was being sought on the details of this announcement and specifically the extent of the reduction. Once further information was available there would be a fuller briefing to Members.
The Committee NOTED the terms of the report and the position with regard to the PWLB rate.
11. Pension Fund Contributions and Administration
There had been circulated Report No. RES-112-11 (25kb pdf) dated 13 September 2011 by the Head of Exchequer and Revenues providing an update on the efficiency and accuracy of pension contributions paid to the Highland Council Pension Fund.
The report was for Members’ information and was good practice in terms of external audit guidance.
The Committee NOTED the details of the report.
12. Banking and Related Financial Transactions – Authorised Signatories
There had been circulated Report No. RES-113-11 (32kb pdf) dated 7 August 2011 by the Chief Financial Officer addressing the matter of Officers appointed to authorise banking and related financial transactions on behalf of the Council. In particular, it was advised that Mr A Geddes, Depute Chief Executive and Director of Finance, had retired from his post on 30 September 2011.
The Committee APPROVED:
i. the deletion of Mr A Geddes, former Depute Chief Executive and Director of
Finance, from the list of authorised signatories for banking and related
financial transactions with effect from from 30 September 2011; and
ii.the addition of Mr D Yule, Director of Finance, to the list of authorised
signatories for banking and related financial transactions with effect from 31
October 2011.
13. Request for Contract Extension for Investment Services
Members were asked to note that current contracts with Hymans Robertson, for Investment Consultancy services, and Sector Treasury Services Ltd, for Treasury Consultancy services, had provisional end dates of 1 April 2012 and 1 July 2012 respectively, with an optional one year extension. A review of investment strategy was ongoing and, for continuity reasons, it was recommended that the Committee invoke the optional one year extensions for both contracts.
In discussion, a request was made for a thorough review of the Council’s investment strategy and the future delivery of investment advice services, with Member involvement. Attention was also drawn to the proposal to establish a Pensions Committee and Investment Sub-Committee (Item 30(iii) below refers – Investment Advisory Group minutes of 2 September, 2011).
Thereafter, the Committee AGREED:
i. to invoke the optional one year extension with Hymans Robertson for
Investment Consultancy services and Sector Treasury Services Ltd for
Treasury Consultancy services; and
ii. that a more detailed report on future investment strategy and delivery of
investment advice services be brought to a future meeting of the
Investment Advisory Group.
14. Asset Management – Performance Monitoring Initiatives
There had been circulated Report No. RES-114-11 (50kb pdf) dated 26 September 2011 by the Depute Chief Executive/Director of Housing and Property informing Members about achievements made by the asset management project at the Highland Council, highlighting the need to redirect the focus of asset management in the future and seeking Members’ approval for new performance monitoring initiatives to record future achievements.
Following consideration, the Committee NOTED progress made to date and challenges facing the Corporate Property Asset Management Team in achieving forecast savings targets; and AGREED the performance monitoring initiatives proposed for Asset Management Planning in the Highland Council.
15. Application for High Life Highland to be included within the Redundancy Payments (Continuity of Employment in Local Government, etc) (Modification) Order 1999
There had been circulated Report No. RES-115-11 (35kb pdf) dated 26 September 2011 by the Assistant Chief Executive proposing a further protection of the employment rights of staff transferring from the Council to High Life Highland (HLH) should they wish in the future to apply for posts back with the Council.
It was recommended that Members agree to Highland Council applying for High Life Highland to be included in the Modification Order.
Following consideration, the Committee APPROVED the application for High Life Highland to be included within the provisions of the Redundancy Payments (Continuity of Employment in Local Government, etc) (Modification) Order 1999; and AGREED that, should the application not be successful, then transferred employees’ service with HLH would be recognised as continuous for the purpose of entitlement to redundancy, annual leave, sick leave and maternity provisions.
16. Collection of Payments Update
There had been circulated Report No. RES-116-11 (44kb pdf) dated 26 September 2011 by the Director of Finance providing an update on progress with the Collection of Payments from April 2011, the commencement date for the new regime for receiving payments.
In particular, Members were advised that collection figures for Council Tax, Sundry Debts and Housing Rents had experienced a dip in the first month of the year. This movement had occurred in other Councils who had implemented a similar policy. However, Highland figures showed that, by August 2011, many payments had returned to the levels of the same period the previous year, and that some collections, such as Non Domestic Rates, were increasing. The new payment strategy therefore seemed to be successful in terms of the amount of collections being received.
Members expressed their appreciation to staff for the excellent work carried out on the new Collection of Payments strategy. As a result the Council would save significant amounts of money as well as providing additional business for Post Offices.
The Committee NOTED the progress being made with the Collection of Payments changes, in particular the increasing acceptance by customers of the new arrangements, which were achieving significant efficiency savings year on year.
17. ICT Services Performance Report – April to August, 2011
There had been circulated Report No. RES-117-11 (157kb pdf) dated 28 September 2011 by the Assistant Chief Executive giving an update on the work of the ICT Services Team, the Delivery of Services by the Council’s ICT providers, principally Fujitsu Services and Cable and Wireless, and progress of the ICT Transformation Programme.
Following a summary of the report by the Corporate ICT Manager, the Assistant Chief Executive (ACEX) referred to a press statement, tabled at the meeting, issued by Fujitsu’s Public Relations department in London and advised that she had contacted the Head of Local Government of Fujitsu to raise specific concerns about comments made in the press statement and seeking the reasons behind those statements. The ACEX would stress the impact that these statements, which were unhelpful, had on the Highland Council and its working relationship with Fujitsu. The ACEX confirmed that the Council was committed to dealing with any management issues raised by Fujitsu and there were procedures in place to deal with these.
It was also confirmed that Council representatives were to meet with the Chief Executive of Fujitsu early the following week to discuss progress on the Transformation Programme.
Members expressed their profound disappointment with comments made in the press statement and the effect that this would have on customer relationships with the Council. They were of the view that Fujitsu required to completely readjust its approach with the Council and to engage with it in a fundamentally different way. They confirmed Highland Council’s commitment to making the ICT contract work and an essential part of this was the Correction Plan. In this respect, the press statement had said that Fujitsu were not delivering a Correction Plan and clarification on this statement was sought from the Account Director, Fujitsu.
In response, the Account Director, Fujitsu, confirmed that there was in place an Improvement Plan that had been agreed with the Council and that Fujitsu was working hard to implement this with Council Officers. Fujitsu was committed to meeting its obligations in the contract and would work with the Council in order to deliver the project.
The Account Director advised that there was a difference in the legal description between what the Council viewed as a Correction Plan and Fujitsu viewed as an Improvement Plan. In this respect, it was suggested that there should be legal clarification on Fujitsu’s view that they were not delivering a “Correction Plan’ but an “Improvement Plan” for the Transformation Programme.
Continuing, the Account Director advised that, in terms of progress on the Curriculum and Corporate rollout, currently 40% of the contract had been delivered for Curriculum and 15% for Corporate. However, in order to deploy devices, Business Area Reports (BARs) were required from the Council and, whilst some had been received, some were still to be completed and returned. He also explained that there were many BARs per site, and in order to do a full rollout of a site all the BARs for that location required to be received.
In this respect, Members expressed their concerns that, almost 2 years into the contract, only 40% for Curriculum and 15% for Corporate rollout had been delivered. It was also noted that Fujitsu had been asked to produce management information where the Council had failed to provide information to them for the rollout but this had not been produced timeously. The Council had made it clear to Fujitsu where the failings in the contract were and Fujitsu required to address these urgently.
Specific reference was also made to failings in the rollout to Alvie Primary School and an assurance was given that these would be monitored by the Rollout Project Board and would be passed to Fujitsu for corrective action.
Thereafter, the Committee NOTED:-
ii. the content of the report and the fact that Members expressed their
profound disappointment with Fujitsu in terms of the latter’s continuing slow
progress on the project and with regard to the recent Press statement
issued by the Company;
iii. that Council representatives were to meet with the Chief Executive of
Fujitsu early the following week to discuss progress on the Transformation
Programme and would express to the Chief Executive Members’ concerns
with progress;
iv.that the problems with the rollout to Alvie Primary School would be
monitored by the Rollout Project Board and the outstanding issues would be
addressed;
v. that weekly progress reports to Members on the ICT Transformation
Programme would continue;
vi.that a further progress report on the ICT Transformation Programme would
be presented to the Resources Committee in November, 2011; and
vii.that strong contract management and governance arrangements were
being, and would continue to be, pursued by the Council.
The Committee AGREED to authorise Officers to seek further legal advice as outlined in Section 16.2 of the report and that this include legal clarification on Fujitsu’s view that they were not delivering a “Correction Plan” but an “Improvement Plan” for the Transformation Programme.
18. ICT Re-Provision Options
There had been circulated Report No. RES-118-11 (81kb pdf) dated 16 September, 2011 by the Assistant Chief Executive considering the future ICT requirements of the Council and the options that might be available and the early work required to ensure that any future requirements were put in place in a timely manner.
In discussion, Members welcomed the report and the need to commence the ICT re-provision process as a priority. Members noted that there were a number of options to meet the Council’s future ICT requirements and that an options appraisal on these would be undertaken. In particular, consideration should be given to shared services with other Councils and to looking at the in-house option. Also, in order that the Education, Culture and Sport Service could plan ahead for its future ICT requirements, early notification to this Service of the commencement of the ICT Re-provision process should be given.
Thereafter, the Committee:
i. NOTED the need to commence the review of the ICT Re- Provisioning
requirements;
ii. AGREED to use external advisors for the production of an optional appraisal
as outlined in Section 2 of the report;
iii.AGREED to delegate authority to the ICT Members Working Group to
approve the tender specification and procurement route for the
appointment of the external advisors; and
iv.NOTED that the Director of Education, Culture and Sport Service would be
given early notice of the commencement of the review of ICT Re-
Provisioning in order that the Education, Culture and Sport Service could
better plan ahead for its future ICT requirements.
19. Out of Hours Call Handling Arrangements
There had been circulated Report No. RES-119-11 (141kb pdf) dated 24 September 2011 by the Head of E Government in relation to an opportunity to expand the joint working between the Highland Council and Northern Constabulary that had been identified with regard to out of hours call handling. The report outlined the background and business case for establishing a jointly managed service for out of hours telephone call handling, specifically for TEC and Housing Services.
Following consideration, the Committee NOTED the benefits, costs and savings involved in moving to the proposed shared call handling solution; APPROVED the move to a shared call handling solution with Northern Constabulary under the Shared Services Agenda; and AGREED that the project proposed implementation date be no later than February 2012, with a TECS pilot commencing in October 2011.
20. Business Support Restructure
There had been circulated Report No. RES-120-11 (306kb pdf) dated 20 September 2011 by the Head of Business Support seeking approval for the remainder of the Business Support structure proposed following the on-going Business Support review, as part of the Council’s Corporate Improvement Programme.
Members welcomed the report and it was suggested that, given the importance of this restructure, the next report on it should be submitted to an earlier meeting of the Committee rather than that in August 2012, as was being recommended.
It was also noted that a separate report on the Business Support Schools Review would be submitted to the Education, Culture and Sport Committee. Members were of the view that, given the lessons learned from the ICT contract, where practices were very different between Schools and Corporate sites, and that there were a number of areas in the Business Support structure that were reliant on the success of the ICT contract, this report should also be submitted to the Resources Committee for scrutiny.
It was also felt that the Equality Implications of the Business Support structure were unclear and that there was a need to know what would happen in this respect.
Thereafter, the Committee APPROVED the remainder of the Business Support structure and AGREED that:
i. a further report on the Business Support Restructure be submitted to the
February 2012 Resources Committee; and
ii. a report on Business Support in Schools be submitted to the Education,
Culture and Sport Committee in January 2012 and the Resources Committee
in February 2012.
21. Employee Survey 2010
(a) Progress Report on Corporate Actions
There had been circulated Report No. RES-121-11 (60kb pdf) dated 30 August 2011 by the Assistant Chief Executive outlining the progress against the corporate improvements agreed in response to the views expressed in the fifth Highland Council Employee Survey. The paper reported good progress against the majority of the corporate improvement actions and that the survey and its improvement actions would contribute to the Council’s Programme commitments to value and consult with staff.
The Committee NOTED the progress against the corporate improvements agreed in response to the Fifth Employee Survey; and APPROVED the plans to communicate progress to staff.
(b) Progress Report on Chief Executive’s Service Actions
There had been circulated Report No. RES-122-11 (57kb pdf) by the Assistant Chief Executive outlining the progress against the improvements actions agreed by the Chief Executive’s Service in response to the staff views expressed in the fifth Highland Council Employee Survey. The paper reported good progress against the majority of the improvement actions.
The Committee NOTED the progress against the Chief Executive’s Service improvements agreed in response to the fifth Employee Survey; and APPROVED the plans to communicate progress to staff.
(c) Progress Report on Finance Service Actions
There had been circulated Report No. RES-123-11 (48kb pdf) dated 15 September 2011 by the Director of Finance outlining the progress against the improvement actions identified for the Finance Service in response to the views expressed in the fifth Highland Council Staff Survey. The paper reported good progress against the majority of the improvement actions.
The Committee NOTED the progress against the Finance Service improvement actions in response to the fifth Employee Survey.
22. Report on Customer Services Network Achieving Customer Service Excellence Standard
There had been circulated Report No. RES-124-11 (316kb pdf) dated 26 September 2011 by the Head of E-Government detailing the achievement of the Customer Services Network in obtaining the new Customer Service Excellence Standard, which replaced the previous Charter Mark standard. This was currently the only externally assessed Customer Service standard recognised and supported by the Cabinet Office.
Members congratulated the staff concerned in reaching such a high standard of excellence which was a huge achievement for them in representing the Highland Council.
The Committee NOTED the outcomes from the assessment and the successful achievement of the Customer Service Excellence standard.
23. European Regional Development Policy post 2014 - A Budget for Europe 2020
There had been circulated Report No. RES-125-11 (291kb pdf) dated 20 September 2011 by the Head of Policy and Performance summarising the EU budget proposals for 2014/20 and highlighting the main points of interest to the Council and the implications for regional development (cohesion policy) and for the Highlands and Islands. The report concluded by setting out a draft position for the Highlands on the regional development proposals and identifying a number of lobbying opportunities for the Council. This position, on approval, would form input to the position of the Highlands and Islands European Partnership.
In discussion, reference was made to the UK Government’s position in not favouring the new category of transitional regions funding and the view was expressed that the Chief Secretary to the Treasury should be informed of the Council’s support for this category and how vital it would be for the Highlands and Islands and his own constituency. Congratulations were also given to Councillor Maxine Smith who had been appointed by CoSLA as one of its representatives on the European Committee of the Regions. A briefing was also provided on the recent Euromontana Conference in Inverness which had been an excellent, well organised event and the feedback from the participants had been very positive.
The Committee:
i. NOTED the EU budget proposals, including the proposed category of
‘transitional’ funding for which the Council had lobbied and for which it
should be eligible;
ii. AGREED that a letter be sent to the Chief Secretary to the Treasury
highlighting the Council’s support for the ‘Transitional Regions’ category and
how vital it would be for the Highlands and Islands;
iii.NOTED the potential gains to the region from the EU budget proposals as
set out in Appendices 1 and 4 to the report;
iv.NOTED the Council’s role in the UK Transition Regions Network;
v.AGREED the proposed lobbying position on regional policy and programmes,
as set out at Appendices 2 and 4 to the report, and that lobbying
opportunities at regional, Scottish, UK and EU levels be maximised; and
vi.NOTED that Councillor Maxine Smith had been appointed by COSLA as one
of its representatives on the European Committee of the Regions.
24. Income Generation – Corporate Charging Policy
There had been circulated Report No. RES-126-11 (243kb pdf) by the Director of Planning and Development advising that the Income Generation Project had been initiated as part of the Council’s Corporate Improvement Programme. The objectives of the project were to identify and deliver additional income opportunities for the Council and to put in place a system allowing for a standard approach to opportunity management and the Council’s approach to charging. This included a proposed Corporate Charging Policy which was fundamental to that approach.
Following consideration, the Committee APPROVED the Corporate Charging Policy as detailed in the appendix to the report.
25. Income Generation - Advertising and Sponsorship
There had been circulated Report No. RES-127-11 (186kb pdf) dated 31 August 2011 by the Director of Planning and Development advising that the Income Generation Project had been initiated as part of the Council’s Corporate Improvement Programme to identify and deliver additional income opportunities for the Council. One of the areas identified was the potential for income from advertising and sponsorship and this was supported in the budget consultation, which had suggested that the Council should look to generate more income from this area. The report therefore recommended the introduction of an Advertising and Sponsorship Policy. The Council would need to decide the best approach to progressing the opportunity and it was recommended that the Council secure an advertising and sponsorship partner.
In discussion, the view was expressed that the required skills to deliver the Advertising and Sponsorship Policy could be found in-house and that, in terms of liaising and identifying opportunities with communities, the best people to do this were Ward Managers, who had the expertise to undertake this work. This would save the Council money by not having to employ external specialists, thereby maximising the potential returns for the Council. It was therefore suggested that the in-house option be explored further.
Members in favour of the proposals noted that a specialist company would only be paid out of income that it generated for the Council, and that there would be no extra costs. They were of the view that the Council did not have the right expertise in-house to undertake this work and that specialists in marketing and sponsorship were much better placed to do the work. Further, it was felt that Ward Managers already had significant workloads, with some now covering two Wards, and that their focus should remain on managing those Wards.
The Project Manager, Corporate Improvement Programme (CIP), also advised that the CIP Board had examined the issue of delivery of the Policy and were of the view that a specialist organisation was more likely to generate higher levels of income by accessing larger budgets. They would also be able to access a higher quality of advertising and sponsorship.
At this point, the Committee APPROVED recommendation one as detailed in the report, namely the introduction of the recommended Advertising and Sponsorship Policy.
Thereafter, Mrs C Wilson, seconded by Dr D Alston, MOVED recommendation two as detailed in the report, namely: “that the Council tenders for a specialist marketing agency to source and generate sponsorship income for a period of three years to include options for review should there be under-performance in terms of delivery of the contract.”
As an AMENDMENT, Mr D Hendry, seconded by Mrs G Sinclair, moved that the work to source and generate sponsorship income for the Council be undertaken by Ward Managers in conjunction with other Officers of the Council, and not a specialist marketing agency as recommended.
On a vote being taken, the MOTION received 10 votes and the AMENDMENT received 4 votes and the MOTION was therefore CARRIED, the votes having been cast as follows:
For the Motion:
Dr D Alston, Miss J Campbell, Mrs H Carmichael, Mr N Donald, Mr J Ford, Mr R Greene, Mr G Marsden, Mrs I McCallum, Ms L Munro, Mrs C Wilson
For the Amendment:
Mr P Cairns, Mr A Henderson, Mr D Hendry, Mrs G Sinclair
There were no abstentions.
Decision:
The Committee:
i. APPROVED the introduction of the recommended Advertising and
Sponsorship Policy; and
ii. AGREED that the Council tender for a specialist marketing agency to source
and generate sponsorship income for a period of three years, to include
options for review should there be under-performance in terms of delivery of
the contract.
26. Thurso Mall and Riverside Project
There had been circulated Report No. RES-128-11 (28kb pdf) by the Corporate Manager in respect of a request from Thurso Members to commit £15,000 towards Thurso Mall and Riverside refurbishment and environmental works.
The Committee NOTED the report and APPROVED the commitment of £15,000 towards the Thurso Mall and Riverside Project.
27. Caol Lunch Club and Community Centre
There had been circulated Report No. RES-129-11 (58kb pdf) dated 25 September 2011 by the Director of Social Work which made recommendations to Members regarding the future use of Caol Community Centre.
It was advised that the Caol Community Centre was owned by the Highland Council and was within the General Fund, Social Work Account. The Centre provided a base for one of the few lunch clubs still managed and operated directly by the Council and the Council operated no other services out of the Centre. It was also an expensive lunch club in Highland terms, at a cost of around £120,000 per year. The building was in poor condition and was likely to have high maintenance costs in the coming years, including necessary fire prevention works. The Housing and Social Work Committee, at its meeting in November 2010, had agreed that discussions should take place with the community in Fort William regarding community operation of the Caol lunch club. As a result, an action plan had been developed and a Steering Group established to produce a business plan for the lunch club and the ongoing viability of the Centre.
It was advised that the Steering Group had indicated that they would wish ownership to be transferred to them at minimal cost. However, plans were also progressing for the new primary school development at Caol and such developments would normally include provision for community activities. These issues had been considered by the Asset Management Board, which had recommended that the community activities should be located as far as possible within the primary school and that a nominal and time limited lease should be agreed with the community group in the meantime. It was noted that the facility was likely to have a sale value of over £0.2m and that the site would be suitable to a significant development of affordable housing.
The Steering Group had considered these issues and had confirmed that they intended to establish a Centre Manager post to further develop and lead this service. They had stated that they continued to regard the building as integral to their objectives, and that, while they would consider a lease arrangement, this should also include an option to buy the centre at minimal cost at a later date. This was therefore the approach that was proposed by the Director of Social Work and would mean that the plans for the development of the school would need to take account of the likely continued existence of the Centre.
Members welcomed the report and appreciated the complexities of the issues involved and the efforts that had been made by all concerned in bringing these proposals forward. In terms of any future proposal by the Steering Group to purchase the building, it was confirmed that this would come before the Committee for consideration. It was also suggested that, in order to confirm surety of funding that would help run the facility, paragraph 2.8 of the report, which detailed the funding that would be available, should be transferred to the recommendations.
It was also suggested that, in terms of the Steering Group being eligible for external funding that was not open to the Council, clarification be sought as to whether Community Groups required to own the premises from which they operated, or whether a long lease tenancy sufficed to confer eligibility. Reference was also made to Tain Lunch Club and the Director of Social Work undertook to consider the possible use of the Hall in Duthac House, Tain, for that lunch club.
Thereafter, the Committee AGREED that:
i. Caol Community Centre be leased to the organisation established by the
Steering Group from 1 April 2012, including responsibility for maintaining and
insuring the property;
ii. the Steering Group have an option to purchase the building at minimal cost
after the lease period, should the new primary school development not
include the range of activities that the community consider necessary to the
operation of their activities;
iii.plans for the development of the school take account of the continued
existence of the Centre, albeit that it would be possible to enhance the
community facilities within the school campus at a later date;
iv.up to 50% of current revenue funding – the benchmark being applied
elsewhere – be available to support this initiative, allowing around £60,000
revenue savings to be achieved every year; and
v.in relation to access to external funding opportunities, clarification be sought
as to whether, in order to be eligible, Community Groups required to own
the premises from which they operated, or whether a long lease tenancy
sufficed to confer eligibility.
28. Amendments to Organisational Structures/Establishments
There had been circulated Report No. RES-130-11 (128kb pdf) by the Assistant Chief Executive recommending amendments to organisational structures/establishments as a consequence of proposals from Service Directors.
The Committee APPROVED the amendments to the staffing establishment and other staffing changes as detailed in Appendix 1 to the report.
29. Membership of ICT Members Working Group
The Committee AGREED the following change as submitted by the SNP Group:
ICT Members Working Group – Mr P Cairns to replace Mrs P Munro
30. Minutes of Meetings
The following Minutes of Meetings were NOTED or APPROVED where appropriate:-
i. Early Retirement Sub-Committee held on 17 August 36kb pdf), 31 August(30kb pdf) and 21 September 2011 (29kb pdf);
ii. Head of Service Recruitment Panel held on 18 August 2011 (20kb pdf);
iii. Investment Advisory Group – 19 August (32kb pdf) and 2 September 2011 (60kb pdf);
iv.Appeals Committee held on 16 September (35kb pdf) and 20 September 2011 (42kb pdf);
v. Joint Consultation Group (Administrative Etc, Manual and Crafts Staffing)
held on 9 September 2011 (48kb pdf);
vi.Central Safety Committee held on 9 Sep 2011 (89kb pdf).
31. Exclusion of The Public
The Committee RESOLVED that, under Section 50A(4) of the Local Government (Scotland) Act 1973, the public be excluded from the meeting during discussion of the following items on the grounds that they involved the likely disclosure of exempt information as defined in Paragraphs 6 and 9 of Part 1 of Schedule 7A of the Act.
32. ICT Members Working Group – Minutes of Meeting
There had been circulated to Members only Minutes of Meeting of the ICT Members Working Group held on 21 September 2011.
Following consideration, the Committee APPROVED the Minutes, subject to a minor amendment as agreed at the meeting.
33. Debts Recommended to be Written-off
There had been circulated to Members only Report No. RES/131/11 by the Director of Finance which, in accordance with good accounting practice, recommended the write-off of uncollectable debts, including outstanding local taxation.
In the event that there was no additional information from Members, the Committee AGREED that the total value of debts amounting to £55,376.59 be written-off.
34. Property Transactions
There had been circulated to Members only Report No. RES/132/11 dated 26 September 2011 by the Depute Chief Executive/Director of Housing and Property seeking approval for the lease of offices at Girnigoe Street, Wick.
The Committee, subject to the report being amended to reflect the correct name for the offices to be leased, APPROVED the lease of Offices at Girnigoe Street Wick on terms and conditions to be agreed by the Depute Chief Executive/Director of Housing and Property.
35. Property Transactions Monitoring Report
There had been circulated to Members only Report No RES/133/11 dated 26 September 2011 by the Depute Chief Executive/Director of Housing and Property advising on sales targeted for completion within the financial year 2011/12 and summarising progress, together with details of the Property Account property transactions approved by the Head of Property Partnerships.
The Committee NOTED progress on property sales with anticipated settlement within financial year 2011/12 and the Property Account transactions approved by the Head of Property Partnerships.
The meeting ended at 1.00 p.m.