Agendas, reports and minutes

A meeting of the Resources Committee will take place in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness onWednesday 27 May 2015 at 10.30 am.

Webcast Notice: This meeting will be filmed and broadcast over the Internet on the Highland Council website and will be archived and available for viewing for 12 months thereafter.

You are invited to attend the meeting and a note of the business to be considered is attached.

Yours faithfully

Michelle Morris
Depute Chief Executive/
Director of Corporate Development

1. Apologies for Absence
Leisgeulan

2. Declarations of Interest
Foillseachaidhean Com-pàirt

Members are asked to consider whether they have an interest to declare in relation to any item on the agenda for this meeting. Any Member making a declaration of interest should indicate whether it is a financial or non-financial interest and include some information on the nature of the interest. Advice may be sought from officers prior to the meeting taking place.

3. Good News Stories
Deagh Naidheachdan

The Committee is invited to note that the Council has been successful in achieving PSN accreditation for the next two years.

The Committee is also invited to note that Rachel MacDonald, Trainee Accountant, has won a prize from CIPFA for “Best Overall Performance in the Diploma level for Public Finance and Taxation” and was presented with her award at the CIPFA graduation ceremony on Friday 15 May 2015.

4. Membership of Sub-Committees
Ballrachd Fho-Chomataidhean

The Committee is invited to agree the following changes to membership:-

• Appeals Committee – Mr A Mackinnon to replace Mr N Donald; and
• Early Retirement-Sub-Committee – Mrs H Carmichael to replace Mr N Donald

FINANCE SERVICE
SEIRBHEIS AN IONMHAIS

5. Corporate Revenue Near Final Monitoring Report for 2014/15
Aithisg Sgrùdaidh Faisg air Deireannach a thaobh Teachd-a-steach Corporra airson 2014/15

There will follow Report No RES/30/15 by the Director of Finance which presents the financial position of the revenue budgets of the General Fund and Housing Revenue Account (HRA) as at 31 March 2015.

The Committee is invited to approve the financial position of the General Fund and HRA revenue budgets as at 31 March 2015.

6. Corporate Capital Near Final Monitoring Report for 2014/15
Aithisg Sgrùdaidh Faisg air Deireannach a thaobh Calpa Corporra airson 2014/15

There will follow Report No RES/31/15 by the Director of Finance which provides an overview of expenditure on the General Fund and Housing Revenue Account (HRA) capital programmes for the period from 1 April 2014 to 31 March 2015.

The Committee is invited to approve the financial position of the General Fund and HRA Capital Programmes as at 31 March 2015.

7. Treasury Management – Summary of Transactions
Rianachd Ionmhais – Geàrr-chunntas de Ghnothaichean

There is circulated Report No RES/32/15 dated 12 May 2015 by the Director of Finance which provides details on the Treasury Management transactions undertaken within the period which is submitted to the Committee in compliance with CIPFA's Code of Practice on Treasury Management and the Council's approved Financial Regulations.

The Committee is invited to:-

i. note the use of Svenska Handelsbanken in compliance with the Treasury Management Strategy; and 
ii. consider the Treasury Management Summary of Transactions reports.

8. Finance Service Plan 2015/16
Seirbheis an Ionmhais – Plana Seirbheis 2015/16

There is circulated Report No RES/33/15 dated 7 May 2015 by the Director of Finance which introduces the Finance Service Plan, updated for 2015/16, which identifies the enabling actions and key performance results which will deliver ‘Working together for the Highlands’, the Programme of the Highland Council as revised on 27 May 2015. It also outlines the statutory and core functions of the Service including the Single Outcome Agreement.

The Committee is invited to approve the Finance Service Plan updated for 2015/16.

9. Finance Service’s Business Continuity Plan
Plana Leantainneachd Gnothachais Seirbheis an Ionmhais

There is circulated Report No RES/34/15 dated 13 May 2015 by the Director of Finance which introduces the Finance Service’s Business Continuity Plan (BCP). This plan identifies key business activities delivered by the Service. It has been prepared according to a methodology agreed by the Executive Leadership Team which identifies key activities which must be maintained against a range of timeframes. Once the Service’s BCP is formally adopted, it becomes an integral part of the Council’s overall General BCP. Any identified training for staff in the activation of the Service’s BCP will follow, as will testing and periodic (annual) review.

The Committee is invited to comment on and agree the Service’s BCP which will then become part of the Council’s overall General Business Continuity Plan.

10. Welfare Reform
Ath-leasachadh Shochairean

a) Update
Cunntas às Ùr

There is circulated Joint Report No RES/35/15 dated 14 May 2015 by the Director of Finance and the Director of Community Services which provides information on the current status of Universal Credit and other Welfare initiatives. It also provides financial monitoring information for 2014/15, covering the Council’s considerable involvement in this area of work.

The Committee is invited to note and consider:-

i. Universal Credit is now available in the five jobcentres outwith Inverness for single claimants and the expansion in Inverness Jobcentre to accept new Universal Credit claims from families; 
ii. the local impact of welfare changes and ongoing reform; 
iii. ongoing partnership working between Services and with the DWP to improve processes and client communication; 
iv. the increasing demand for Foodbanks in Highland and that the main reason for this increased demand is benefit delays; 
v. the extensive and ongoing contribution that Officers are making to help shape the welfare system in Scotland and the UK; and 
vi. the management information and budgetary position provided in the appendices to the report.

b) Fund Proposals
Molaidhean na Maoin Sochairean

There is circulated Joint Report No RES/36/15 dated 11 May 2015 by the Director of Finance, the Head of Policy and Reform and the Head of Digital Transformation which recommends an allocation of £191,565 from the Council’s Welfare Fund, which currently totals £849,435. The allocation would enable: enhanced support for tenants, better digital inclusion across the region and support for families with children through a refreshed approach to school clothing grants. The proposals are supported by the Council’s Welfare Reform Working Group.

The Committee is invited to approve funding for three proposals from the Council’s Welfare Fund, namely:-

i. £28,500 over four years for the ‘Count your cash days’ for tenants; 
ii. £90,000 for the Citizens Online project for 2015/16; and 
iii. £73,065 in 2015/16 for increasing the school clothing grants in line with national guidance.

The Committee is also invited to note that further proposals for the remaining £657,870 in the fund will be developed and brought back to Committee for consideration and with the scope for EU programme funding to grow the Fund to 2018.

11. Finance Service – Quarterly Performance Report
Aithisg Coileanaidh Ràitheil Seirbheis an Ionmhais

There is circulated Report No RES/37/15 dated 7 May 2015 by the Director of Finance which provides a summary of the key and statutory performance indicators for the Finance Service as at 31 March 2015.

The Committee is invited to consider these statutory and key performance indicators.

12. Finance Service Workforce Plan 2015-2019
Plana Sgioba-obrach Seirbheis an Ionmhais 2015-2019

There is circulated Report No RES/38/15 dated 18 May 2015 by the Director of Finance which sets out a summary of the Finance Service Workforce Plan for 2015-2019.

The Committee is invited to consider and agree the Finance Service Workforce Plan 2015-2019.

13. Audit Reports
Aithisgean Sgrùdaidh

a) Audit Scotland National Report – Borrowing and Treasury Management in Councils
Aithisg Coimisean nan Cunntasan – Iasad agus Rianachd Roinn an Ionmhais

There is circulated Report No RES/39/15 dated 14 May 2015 by the Director of Finance which comments on and provides a recommendation from the National Report in respect of the Council’s borrowing and treasury management activity.

The Committee is invited to:-

i. consider the findings of the Audit Scotland National Report on Borrowing and Treasury Management; 
ii. note that the Highland Council already complies with the majority of the recommendations; and 
iii. agree that future Treasury Management Reports contain reference to the on-going revenue budget implications of the Capital Plan.

b) Audit Scotland – Major Capital Investments in Councils: A Follow-up Report
Sgrùdadh Alba – Tasgaidhean Mòra Calpa ann an Comhairlean: Aithisg Iar-Sgrùdaidh

There is circulated Report No RES/40/15 dated 13 May 2015 by the Director of Finance which considers the key issues arising from this national report, highlights the main issues for Highland Council to consider, and recommends improvements to existing practice.

The Committee is invited to:-

i. consider the Audit Scotland Report and the management responses and proposed actions; 
ii. note the proposed enhancements to existing policy and practice:-

• regular reporting, on a whole life basis, of all major projects over a value of £5m;
• submission of a project evaluation at the end of each major project over the value of £5m;
• inflation provision to be made for all significant projects where there is a time gap between evaluation and completion; and

iii. note the proposed training programme for Members.

14. Public Consideration of Company Debts
Beachdachadh air Fiachan airson an Dubhadh Às

At the Resources Committee meeting in February, following consideration of a joint report by the Director of Finance and the Head of Corporate Governance, a further report was requested to enable Members to debate whether the write-off of company debts should be considered in public.

In this regard, there is circulated Report No RES/41/15 dated 14 May 2015 by the Director of Finance which advises Members of the company information available within the public domain and options available for considering debt write off.

The Committee is invited to:-

i. consider the content of this report including the legal, risk, resource and rural implications of debating debt write-off information in the public domain; and 
ii. agree the option that is to be followed for considering the write off of company debts.

CORPORATE DEVELOPMENT SERVICE
SEIRBHEIS AN LEASACHAIDH CHORPORRA

15. Corporate Development Service – Draft Service Plan 2015/16
Plana Gnothachais Seirbheis an Leasachaidh Chorporra 2015/16

There is circulated Report No. RES/42/15 dated 4 May 2015 by the Depute Chief Executive/Director of Corporate Development which outlines how the Service will lead and support commitments which will deliver ‘Working together for the Highlands’, the Programme of the Highland Council. The Plan also details how the new Service will operate, its approach and priorities.

The Committee is invited to comment on the draft service plan for 2015/16, agree any amendments required and approve the plan.

16. Corporate Development Service’s Business Continuity Plan
Plana Leantainneachd Gnothachais Seirbheis an Leasachaidh Chorporra

There is circulated Report No. RES/43/15 dated 6 May 2015 by the Depute Chief Executive/Director of Corporate Development which introduces the Corporate Development Service’s Business Continuity Plan (BCP). This plan identifies key business activities delivered by the Service. It has been prepared according to a methodology agreed by the Executive Leadership Team which identifies key activities which must be maintained against a range of timeframes. Once the Service’s BCP is formally adopted, it becomes an integral part of the Council’s overall General BCP. Training for staff in the activation of the BCP will follow, as will testing and periodic (annual) review.

The Committee is invited to approve the Corporate Development Service’s Business Continuity Plan.

17. Corporate Development Service Workforce Plan 2015-2019
Leasachaidh Chorporra – Plana Leasachaidh Sgioba-obrach 2015-2019

There is circulated Report No. RES/44/15 dated 15 May 2015 by the Depute Chief Executive/Director of Corporate Development which sets out the Corporate Development Service Workforce Plan for 2015-2019, for Members consideration and approval.

The Committee is invited to consider and agree the Corporate Development Service Workforce Plan 2015-2019. 

18. Corporate Development – Statutory Performance Indicators, Quarterly Performance Report
Aithisg Choileanaidh Ràitheil Seirbheis An Leasachaidh Chorporra

There is circulated Report No. RES/45/15 dated 14 May 2015 by the Depute Chief Executive/Director of Corporate Development which provides quarterly Statutory Performance Indicators for Quarter 4 of 2014/15.

The Committee is invited note the performance in relation to sickness absence and payment of invoices.

19. Corporate Improvement Programme – Closure Report
Prògram Leasachaidh Chorporra –Aithisg Dùnaidh

There is circulated Report No RES/46/15 dated 14 May 2015 by the Depute Chief Executive/Director of Corporate Development which explains that the Corporate Improvement Programme 2 (CIP2) closed on 31 March 2015. The programme achieved£5.28m in efficiency savings for the period 2013/14 and 2014/15. A number of the current initiatives will be developed further under the Transformational Savings Programme which will be reported to future Resources Committee Meetings.

The Committee is invited to note the report and the arrangements that have been made for the governance and implementation of the Council’s Transformational Savings Programme.

20. ICT Services Performance Report October 2014 to March 2015
Aithisg sia-mìosan TFC

There is circulated Report No. RES/47/15 dated 5 May 2015 by the Depute Chief Executive/Director of Corporate Development which provides an update on the key achievements of the ICT Services Team, the delivery of services by the Council’s ICT providers principally Fujitsu Services and Vodafone for the period from October 2014 to March 2015.

The Committee is invited to note:-

i. the content of the report and the positive outcomes being delivered from the contracts with Fujitsu and Vodafone; 
ii. the successful 2-year PSN re-accreditation; and 
iii. that robust contract management and governance arrangements continue to be applied and pursued by the Council to the Fujitsu and Vodafone contracts.

21. Unified Communications Project
Cunntas às Ùr mu Chonaltraidhean Aonaichte

There is circulated Report No. RES/48/15 dated 12 May 2015 by the Depute Chief Executive/Director of Corporate Development which provides an update on the Unified Communications (UC) Project outlining the current progress with the project and the estimated ongoing benefits, costs and savings that could be realised from the deployment of the UC solution.

The Committee is invited to note:-

i. the completion of the pilot phase of the Unified Communications project; 
ii. the benefits which will be delivered for the Council as part of the Unified Communication project; 
iii. the position with regard to timescales, costs and future rollout plans; 
iv. that the forecast project costs have increased but that they are being managed within the overall ICT budget; and 
v. the benefits and ongoing revenue savings of £300,000 to be achieved through this project.

22. Pathfinder North – Transition to Scottish Wide Area Network
Pathfinder Tuath agus Gluasad gu Lìonradh Sgìreil air Feadh na h-Alba

There is circulated Report No. RES/49/15 dated 11 May 2015 by the Depute Chief Executive/Director of Corporate Development which provides an update on the current status of Pathfinder North (PFN) which is the five local authorities shared services partnership comprising of Argyle & Bute Council, Comhairle nan Eilean Siar, Highland Council, Moray Council and Orkney Islands Council, and its membership within the new Scottish Wide Area Network Partnership (SWAN).

A report to Highland Council on 13 March 2014 recommended that Highland Council acting as the Lead Authority within the Pathfinder North Partnership to enter into a contract for the provision of broadband services as part of the (SWAN) initiative. The recommendations in the report were approved and Member approval was also given at this time for the Detailed Business Case and associated savings. The contract was signed in October 2014 and the purpose of this report is to update Members on the progress to transition services on to SWAN and the associated savings position.

The Committee is invited to note:-

i. progress with regard to the transition planning; and 
ii. the budget position.

23. Early Retirement/Voluntary Severance Scheme
Poileasaidh ER/VR Ath-sgrùdaichte

There is circulated Report No RES/50/15 dated 15 May 2015 by the Depute Chief Executive/Director of Corporate Development which proposes a revised Early Retirement/Voluntary Severance (ER/VS) Scheme following consideration by the Staff Partnership Forum (SPF) on 6 February 2015 and 15 May 2015.

The Committee is invited to approve:-

i. the revised proposals and the recommendations as set out in Section 2 of the report and the renaming of the Scheme and the Sub-Committee as per Section 3 of the report; and 
ii. that the effective date for the three changes to the scheme and the renaming of the scheme and Sub-Committee is 1 June 2015.

24. Flexible Retirement Policy
Poileasaidh Cluaineis Shùbailte

There is circulated Report No. RES/51/15 dated 15 May 2015 by the Depute Chief Executive/Director of Corporate Development which proposes an amendment to the Flexible Retirement Policy to include a requirement for employees to commit to a retirement date when applying for flexible retirement.

The Committee is invited to agree that:-

i. the Flexible Retirement policy should be revised to include the provision that when flexible retirement is requested, the employee must specify a leaving date, which will then be the period of notice to be worked; and 
ii. employees can give up to three years notice as this provides flexibility for employees approaching retirement, assists with Service’s workforce planning, and reduces the legal risks to the Council. It is also recommended that this is reviewed over the next two years to check for any impact on Services’ workforce planning and this review period is included in the policy.

25. Health and Safety Management System Update
Ath-sgrùdadh de Shiostam Rianachd Slàinte is Sàbhailteachd

There is circulated Report No RES/52/15 dated 13 May 2015 by the Depute Chief Executive/Director of Corporate Development which presents an update to the Council’s health and safety management system, namely the annual review of the Corporate Health, Safety and Wellbeing Policy, and the updated Radon Policy. It also introduces a proposed timetable for the ongoing review of the health and safety management system.

The Committee is invited to approve the:-

i. revised Corporate Health Safety and Wellbeing Policy and the Policy on Managing Radon in the Workplace; and 
ii. proposed timetable for review of the health and safety management system.

CHIEF EXECUTIVE’S OFFICE
OIFIS AN ÀRD-OIFIGEIR

26. European Social Fund Priority 2 – Promoting Social Inclusion, Combating Poverty and any Discrimination
Prìomhachas 2 Maoin Shòisealta na h-Eòrpa – A’ brosnachadh in-ghabhail sòisealta, a’ cur aghaidh ri bochdainn agus leth-bhreith sam bith

There is circulated Report No RES/53/15 dated 18 May 2015 by the Head of Policy and Reform which provides Members with the background to the European Structural Fund (ESF) stream on promoting social inclusion, combating poverty and any discrimination. It outlines the proposed approach for developing the Strategic Intervention Application for this funding stream by 1 July 2015.

The Committee is invited to note:-

i. the details currently known about the ESF stream on promoting social inclusion, combating poverty and any discrimination; 
ii. that the Strategic Intervention Application is currently under development, with a target submission date of the 1 July 2015; 
iii. the Application will be developed through a partnership approach to ensure that existing good work is further developed and resources targeted effectively, with the Application co-ordinated in the Chief Executive’s Office with projects led through relevant services; and 
iv. that the Welfare Fund is considered as potential match funding as and where appropriate.

The Committee is also invited to agree:-

i. the approach outlined to developing the Strategic Intervention; and 
ii. that the final Strategic Intervention is considered by the Council’s Welfare Reform Working group, with final approval delegated to the Head of Policy and Reform in consultation with the Chair and Vice Chair of Resources.

DEVELOPMENT AND INFRASTRUCTURE
LEASACHADH AGUS BUN-STRUCTAR

27. Scottish Local Authority Business Loan Fund
Maoin Iasaid na h-Alba

There is circulated Report No RES/54/15 dated 14 May 2015 by the Director of Development and Infrastructure which outlines the proposal for a Scottish local authority’s pan-Scotland Business Loan Fund. The Council has an opportunity to invest in the fund and to secure match ERDF and Bank funding for the benefit of Highland businesses.

The Committee are asked to:-

i. agree to become a Member of the Scottish Local Authority Loans Fund (Business Loans Scotland Limited); and 
ii. approve a contribution of £337,500 to the Scottish Local Authority Loans Fund (Business Loans Scotland Limited).

28. Lochaber Area Asset Management Plan
Plana Rianachd So-mhaoin Sgìre Loch Abar

There is circulated Report No RES/55/15 dated 8 May 2015 by the Director of Development and Infrastructure which presents an overview of Corporate Property Asset Management and the development of Area Asset Management Plans. It highlights the findings and actions in the draft Lochaber Area Asset Management Plan and provides a progress update against the Plan actions.

The Committee is invited to agree the Lochaber Area Asset Management Plan as a Council plan.

MINUTES OF MEETINGS
GEÀRR-CHUNNTAS CHOINNEAMHAN

29. Minutes of Meetings
Geàrr-chunntasan Choinneamhan

There following Minutes of the Meetings are circulated for confirmation:-

i. Welfare Reform Working Group held on 27 April 2015; 
ii. Early Retirement Sub-Committee held on 29 April 2015; 
iii. Appeals Committee held on 12 May 2015; 
iv. Central Safety Committee held on 15 May 2015; and 
v. The Highland Council Staff Partnership Forum –Elected Members/Staff Side Group held on 15 May 2015.

30. Exclusion of the Public
Às-dùnadh a’Phobaill

The Committee is asked to resolve 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 involve the likely disclosure of exempt information as defined in Paragraphs 6 and 9 of Part 1 of Schedule 7A of the Act.

31. ICT Executive Board: Minutes of Meeting
Bòrd-gnìomha TFC: Geàrr-chunntas Coinneimh

There is circulated to Members only for approval, Minutes of Meeting of the ICT Executive Board (Members) held on 14 April and 11 May 2015.

CORPORATE DEVELOPMENT SERVICE
SEIRBHEIS AN LEASACHAIDH CHORPORRA

32. ICT Reprovision Programme Progress Report
Dòigh-obrach Sholarachaidh a thaobh Ath-sholarachadh TFC

There is circulated to Members only Report No. RES/56/15 dated 6 May 2015 by the Depute Chief Executive/Director of Corporate Development which provides Members with a Progress Report for the ICT Reprovision Programme and seeks approval of the Procurement Approach, Competition Stage Plan and Evaluation Criteria.

The Committee is invited to agree the recommendations as set out in the report.

DEVELOPMENT AND INFRASTRUCTURE
LEASACHADH AGUS BUN-STRUCTAR

33. Land and Property
Talamh agus Cuid-seilbh

There is circulated to Members only Report No. RES/57/15 dated 15 May 2015 by the Depute Chief Executive/Director of Corporate Development in respect of a number of land and property transactions.

The Committee is invited to agree the recommendations as set out in the report.