Agenda and minutes

Finance and Performance Management Cabinet Committee
Thursday, 13th September, 2018 7.00 pm

Venue: Council Chamber - Civic Offices. View directions

Contact: R. Perrin Tel: (01992) 564532  Email:  democraticservices@eppingforestdc.gov.uk

Items
No. Item

20.

Webcasting Introduction

(a)          This meeting is to be webcast;

 

(b)        Members are reminded of the need to activate their microphones before speaking; and

 

(c)        the Chairman will read the following announcement:

 

“I would like to remind everyone present that this meeting will be broadcast live to the Internet and will be capable of subsequent repeated viewing, with copies of the recording being made available for those that request it.

 

By being present at this meeting, it is likely that the recording cameras will capture your image and this will result in your image becoming part of the broadcast.

 

You should be aware that this may infringe your human and data protection rights. If you have any concerns then please speak to the Webcasting Officer.

 

Please could I also remind Members to activate their microphones before speaking.”

Minutes:

The Chairman reminded everyone present that the meeting would be broadcast live to the Internet and that the Council had adopted a protocol for the webcasting of its meetings.

21.

Substitute Members

To report the appointment of any substitute members for the meeting.

Minutes:

The Cabinet Committee noted that Councillor S Kane would substitute for Councillor J Philip and Councillor H Kane would substitute for Councillor G Mohindra at this meeting.

22.

Appointment of Chairman

Minutes:

In the absence of the Chairman, the Leader requested nominations for this role, for this meeting.

 

            RESOLVED:

 

That Councillor C Whitbread be elected as Chairman for the duration of the meeting.

23.

Declarations of Interest

To declare interests in any item on this agenda.

 

Minutes:

There were no declarations of interest pursuant to the Council’s Code of member Conduct.

24.

Minutes pdf icon PDF 91 KB

To confirm the minutes of the last meeting of the Committee held on  26 July 2018.

Minutes:

            RESOLVED:

 

That the minutes held on 26 July 2018 be taken as read and signed by the Chairman as a correct record.

25.

Any Other Business

Section 100B(4)(b) of the Local Government Act 1972, requires that the permission of the Chairman be obtained, after prior notice to the Chief Executive, before urgent business not specified in the agenda (including a supplementary agenda of which the statutory period of notice has been given) may be transacted.

Minutes:

That, as agreed by the Chairman of the Cabinet Committee and in accordance with Section 100B(4)(b) of the local Government Act 1972, the following items of urgent business be considered following the publication of the agenda;

 

·         Corporate Plan 2018-2023 – Benefits Maps, Performance Indicator

26.

Corporate Plan 2018-2023 - Benefits Maps, Performance Indicator pdf icon PDF 230 KB

Late item for the agenda. To consider the attached report (FPM-014-2018/19).

Additional documents:

Minutes:

The Head of Transformation, D Bailey presented a report regarding the Corporate Plan 2018-2023 – Benefits Maps, Performance Indicator Set and Targets following a request from this Cabinet Committee for further discussions between Joint Cabinet and Management Board.

 

The Head of Transformation advised that the new Corporate Plan ran from 2018/19 to 2022/23, which laid out the journey that the Council would take to transform the organisation to be ‘Ready for the future’. The plan linked the key external drivers influencing Council services, with a set of corporate aims and objectives, grouped under three corporate ambitions. The success of the new Corporate Plan would be assessed through the achievement of a set of benefits, focussed on what the Council achieved for customers. These benefits in turn were evidenced through a set of performance indicators, with each indicator having a target and red and/or amber tolerance thresholds. The Corporate Specification for each year detailed how the Corporate Plan was being delivered through operational objectives and linked to annual business plans, projects and programmes from the Transformation Programme.

 

Resolved:

 

(1)        That the Corporate Plan benefits maps and performance indicator set be agreed; and

 

(2)        That the proposed targets and tolerance thresholds for the performance indicator set be agreed.

 

Reasons for Decisions:

 

The Council had ambitious plans for the future and a clear corporate plan was essential. The Corporate Plan sets out a clear and cohesive view from strategic drivers, through aims and objectives, to benefits which measure real improvements for customers. This plan would enable the Council to focus on what was most important to our stakeholders – what ‘good’ looks like. The Corporate Plan includes a set of benefits maps which show how the success of the plan would be measured, and collectively indicate how well the Council was delivering the benefits to our customers. These arrangements demonstrate how the Council secures the management of change and continuous improvement, having regard for economy, efficiency and effectiveness. A set of performance indicators and benefits measures were agreed each year, with targets.

 

The Corporate Plan 2018-2023 was adopted by Council in December 2017. It was agreed that the four Select Committees (Communities, Governance, Neighbourhoods and Resources) be consulted on the draft benefits maps and performance indicator set. This consultation ensured that the benefits maps had both the style and the content which the Select Committees found most useful in undertaking their scrutiny of Council performance. The Head of Transformation advised that the final benefits maps and performance indicator set profiles were to be agreed by the Finance and Performance Management Cabinet Committee, in consultation with the Head of Transformation.

 

Other Options Considered and Rejected:

 

The Committee could, in consultation with the Head of Transformation, agree that specific components of the proposed performance indicator set, targets and/or benefits maps be further reviewed, amended or removed, or new components be considered and included (Report to Cabinet, 7 December 2017).

 

The Committee could ask for specific components of the Corporate Plan be further reviewed, amended or  ...  view the full minutes text for item 26.

27.

Corporate Plan 2018-2023 Performance Report Q1 pdf icon PDF 188 KB

To consider the attached report (FPM-009-2018-19).

Additional documents:

Minutes:

The Head of Transformation, D Bailey presented the outturn position for Quarter 1 2018/19, in relation to the achievements of the Corporate Plan for 2018/2023.

 

The Corporate Plan 2018-2023 was the authority’s key strategic planning document which laid out the journey the Council would take to transform the organisation to be ‘Ready for the Future’. The plan linked the key external drivers influencing Council services, with a set of corporate aims and objectives, grouped under three corporate ambitions.A Corporate Specification for each year, which were previously called the Key Action Plan detailed how the Corporate Plan was being delivered through operational objectives, with these in turn linked to annual Service business plans.The success of the Corporate Plan was assessed through the achievement of a set of benefits, each measured through one or more performance indicator, focussed on what the Council achieves for customers. Management Board, Cabinet and the Scrutiny Select Committees had the overview and scrutiny roles to drive improvement in performance and ensure corrective action was taken where necessary.

 

The Head of Transformation advised that at Quarter 1 - 2018/19, the within the three Corporate ambitions, Stronger Communities had two Performance Indicators below target, Stronger Places had one Performance Indicator below target and Stronger Council had one Performance Indicators within the amber warning.

 

Further details were given on these Performance Indicators, as follows;

 

Stronger Communities

 

·         M2.1 Number of safeguarding concerns. This was a new measurement with possible seasonal variations and the baseline had been set with a 1% increase on the cumulative 2018/18 statistics. A truer reflection may be realised later in the year for any corrective actions. 

·         M2.2 Number of days to process benefit claims. The performance had not been on target due to a lack of resources and long term sickness which was expected to improve in the next quarter.

 

Stronger Places

 

·         M3.1 Number of Community Champions and Volunteers. The first quarter had been used to establish the project and the Voluntary Action Epping Forest (VAEF) were currently finding out where volunteers had been placed and pushing the recruitment process for community leaders and volunteers.

 

Stronger Council

 

·         M10.2 Annual Council Tax Collection.

The target had been missed by 0.01%.

 

The Cabinet Committee were concerned about the lay out of the information supplied and asked that Performance Indicators which missed their targets, be supplied as a separate document to clearly set out areas of concern. Furthermore clarification was sought on how these Performance Indicators would get back on target. The Senior Project Manager’s advised that they consulted with the Project Managers and Project Sponsors to ensure action was being taken.   

 

Resolved:

 

(1)        That the outturn position for Quarter 1 2018/19, in relation to the achievement of the Corporate Plan for 2018-2023 ne noted.

 

Reasons for Decisions:

 

This combined report brings together the performance of the Council against the Corporate Plan and gave ‘clear line of sight’ for performance across the Council via the new benefits maps and performance indicator set. The benefits maps provided an opportunity  ...  view the full minutes text for item 27.

28.

Transformation Programme - Project Dossier pdf icon PDF 211 KB

To Consider the attached report (FPM-010-2018-19)

Additional documents:

Minutes:

The Head of Transformation, D Bailey reported that the Project Dossier attached to the agenda updated the Cabinet Committee on the progress made by all active High and Medium complexity programmes and projects within the Transformation Programme, including the current project lifecycle stage, the current project status, and the level of completion of the project (expressed as a percentage). The programme was a collection of related projects, which delivered outcomes and benefits directly connected to a strategic objective. The project dossier had been produced on 31 August 2018 to be incorporated within the agenda, although live information could be retrieved via Pentana, which was accessible to both Members and Officers.

 

The Cabinet Committee expressed concern that some of the projects appeared to be 100% complete, yet were still appearing or that the latest note did not reflected the status. Furthermore, the Senior Project Managers should contact the Project Managers for progress reports on the morning of the Cabinet Committee to enable them to given up to date information.

 

The Service Director, Governance and Members Services advised that there may have been some issues with the Project Managers changing due to the new structure and Leadership Team, shortly implemented.   

 

Resolved:

 

That the updated Project Dossier for the Transformation Programme be noted.

 

Reasons for Decision:

 

To update the Cabinet Committee on the progress made by all of the High and Medium complexity programmes and projects within the Transformation Programme, as contained within the attached Project Dossier.

 

Other Options for Action:

 

None, as this was an update report.

29.

Risk Management - Corporate Risk Register pdf icon PDF 93 KB

To consider the attached report (FPM-011-2018/19).

Additional documents:

Minutes:

The Assistant Director (Accountancy) presented a report regarding the Council Corporate Risk Register.

 

 The Corporate Risk Register had been considered by the Risk Management Group on 13 August 2018 and Management Board on 15 August 2018. The reviews identified updates for the current risks and removal of one risk as follows;

 

(a)          Risk 1 Local Plan

 

The Risk Vulnerability had been updated to advise the Local Plan submission deadline of the 24 January 2019. Failure to submit the Local Plan to the Secretary of State for Independent Examination would result in the Council having to use the standard methodology for the assessment of housing need. The risk Trigger had also been updated to advise that the Council was awaiting the decision on an application from the claimants to the Court of Appeal to seek leave to appeal the High Court decision, which dismissed the claim for judicial review. This was holding up the submission of the Local Plan Submission Version (LPSV) for independent examination.

 

(b)          Risk 2 Strategic Sites

 

The Effectiveness of Controls/Actions had been updated. Epping Forest Shopping Park had been removed from the list of strategic sites, as letting of all units neared completion and the site was now operational.

 

(c)          Risk 8 Partnerships

 

The risk which was scored C3 (Medium Likelihood/Minor Impact) had been removed from the Corporate Risk Register. Both the Risk Management Group and Management Board believed that the risk could now be managed at Directorate level.

 

(d)          Risk 9 Safeguarding

 

The Required Further Management Action had been updated to advise the Safeguarding Strategy and Action Plan was to be reviewed during 2018/19.

 

The Cabinet Committee raised concerns regarding the effect of online shopping on the high street and asked what action were being put in place to safe guard the Council. The Acting Chief Executive, D Macnab advised that there had been significant changes in customer behaviour but that businesses were adapting and the Council had a more commercial stock with a waiting list for premises. The Assistant Director (Accountancy) P Maddock also advised that the Corporate Governance Group had a ‘watch list’ for risks that could effect the Council and this could be added.

 

Resolved:

 

(1)        That the updated Risk Vulnerability and Trigger for Risk 1 be updated;

 

(2)       That the updated Effectiveness of Controls/Actions for Risk 2 be updated;

 

(3)        That Risk 8 be removed from the Corporate Risk Register; and

 

(4)       That the Required Further Management Action for Risk be updated;

 

Recommended:

 

(6)      That the amended Corporate Risk Register be recommended to Cabinet for approval.

 

Reasons for Decision:

 

It was essential that the Corporate Risk Register was regularly reviewed and kept up to date.

 

Other Options Considered and Rejected:

 

Members may suggest new risks for inclusion or changes to the scoring of existing risks.

30.

Quarterly Financial Monitoring pdf icon PDF 150 KB

To consider the attached report (FPM-012-2018/19).

 

Additional documents:

Minutes:

The Assistant Director (Accountancy) presented the first quarterly monitoring on key areas of income and expenditure for 2018/19, which covered the period from 1 April 2018 to 30 June 2018. The report provided details of the revenue budgets, the Continuing Services Budget and District Development Fund as well as the capital budgets which included the Major Capital schemes. They were presented based on the directorate responsible for delivering the services to which the budgets related and was intended to be prepared in the new directorate structure for the second quarter monitoring report. 

 

A few points of particular interest were highlighted as follows;

 

·                     The salaries schedule shows an underspend of £170,000 or 2.8% compared to the first quarter last year which was an underspend was 2.5%.

·                     Investment interest was slightly above the target due mainly to the Council holding more cash than was expected. The increase in Interest rates would also have a positive effect going forward though not that significant.

·                     The Development Control income had been well above expectations with fees and charges £274,000 higher than budgeted although pre-application charges were £5,000 lower than expected. There had been a number of larger schemes coming through and the figures had reached the level expected at month 6.

·                      

·                      Building Control income was £22,000 lower than budgeted due to some administrative issues. The opening position on the ring-fenced account had a surplus of £111,000 after a £4,000 deficit last year. The account was budgeted to show an in year deficit of £87,000 and a review of the position on the account was being undertaken.

·                     Public Hire licence income was above expectation and other licensing was below expectations. Although a significant number of renewals were due in the autumn which should bring licensing income back into line.

·                     Income from MOT’s carried out by Fleet Operations was below expectations by around £9,000. The account was budgeted to show a deficit of around £33,000 which was around half the original deficit for the previous year.

·                     Car Parking income was on target, though there would be some income relating to the first quarter that would be received in month 4.

·                     Local Land Charge income was £4,000 below expectations; however it was a little early in the year to be sure whether this trend would continue.

·                     Expenditure and income relating to Bed and Breakfast placements had reduced in recent months with invoicing being a little slow from bed and breakfast accommodation providers but also the Housing Benefit caseload had been reasonably static. There were a number of initiatives in place to stem the increase in bed and breakfast usage and evidence suggested that these were having a positive effect.

·                     There had been no recycling credit income in the first quarter. The County Council were often slow to agree figures in the early part of the year but things tended to catch up by month 6, which occurred last year.

·                     The waste contract expenditure was in line with expectations but the leisure management contract shows a reduction in income  ...  view the full minutes text for item 30.

31.

Annual Outturn Report on the Treasury Management 2017/18 pdf icon PDF 162 KB

To consider the attached report (FPM-013-2018/19).

Additional documents:

Minutes:

The Assistant Director (Accountancy) presented the Annual Outturn report on the Treasury Management and Prudential Indicators for 2017/18.

 

The Assistant Director (Accountancy) reported that the annual treasury report was a requirement of the Council’s reporting procedures.  It covered the treasury activity for 2017/18, and the actual Prudential Indicators for 2017/18. During the year the Council had financed all of its capital activity through capital receipts, capital grants, internal borrowing from other revenue reserves and revenue contributions. There had  been no additional external borrowing in the year to add to the £185.456m taken out previously through the Public Works Loan Board (PWLB) to finance the payment in relation to the self-financing of the HRA.  The Council achieved its targets for its treasury and prudential indicators and would be considered by the Audit and Governance Committee on 24 September 2018.

 

Resolved:

 

(1)          That the Treasury Management Outturn Report for 2017/18 be noted; and

(2)          That the Outturn for the Prudential Indicators shown within the appendices attached, be noted.

 

Reasons for Decision:

 

The report was presented for noting as scrutiny was provided by the Audit and Governance Committee who make recommendations on amending the documents, if necessary.

 

Other Options Considered and Rejected:

 

Members could ask for additional information about the CIPFA Codes or the Prudential Indicators.