Board Tuesday 8 December 2015 at 5.00pm Meeting to be held at YHN House, Newcastle upon Tyne. Contact: Jill Davison (telephone: 0191 278 8624 email: jill.davison@yhn.org.uk)
AGENDA Introduction items
Timing
1
Reminder to switch off mobile phones
5.00
2
Apologies for absence
3
Declarations of Interest
Page No.
Items for Decision / Discussion 4
Closed Session with Board Members
5.00
5
Management Agreement
6.00
1
6
Health and Safety Six monthly report and policy update
6.10
45
6.20
59
Items for approval 7
Minutes of 3 November 2015
Items for Information 8i
Safeguarding
64
8ii
Delegated Decisions
72
8iii
Board Forward Plan
74
8iv
Committee minutes: Audit committee 20 August
75
To exclude the press and public during discussion of agenda item 9-13 because of the likely disclosure of confidential information. The definitions of what is considered confidential are contained within Section 16 of the Company’s Standing Orders.
Protect not for publication Items for Decision 9
Budget issues
6.25
78
10
Housing Investment Programme 2015/16 progress and budget implications
6.40
83
6.55
96
Items for approval 11
Confidential minutes 22 September 2015
Items for Information 12
Byker Community Trust update
6.55
101
13
Audit committee 20 August – confidential minutes
109
Date of next meeting 2 February 2016 5pm YHN House
5 Board 8 December 2015 Management Agreement between Newcastle City Council (NCC) and YHN Report by Director of Corporate Services For decision 1.
Background information
1.1
This report is to ask Board to agree the content of the main body of the Management Agreement (MA) between NCC and YHN, from YHN’s perspective, and to note the approval process at NCC. The document is appended to this report.
1.2
At the May meeting, Board received a short presentation on the process adopted, the main clauses and the fee principles. In July, Board received and commented on further detail on the principles and the most significant clauses. In September, two sessions were held with Board members to go through the proposed document in detail. No material issues have emerged at any of these stages.
2.
Summary of the approach and key content
2.1
As stated at the July meeting, the main body of the MA represents the fixed contractual relationship between the two organisations and has been written so as to remain applicable through a range of possible changes to our operating environment. Where we need to refer to current situations or processes, but where we know that these will change year on year (for example fee levels or performance indicators), these will be appended in schedules. The schedules can be changed without recourse to legal advice, whereas the main body of the MA is a legal document and any changes would be more onerous. As far as possible we would wish not to change the main part of the MA during its life. Schedules will be changed by joint agreement.
2.2
NCC will commission certain services from YHN and will judge our performance in the delivery of those services through a number of performance indicators which will be outcome focused. Responsibility for the way that they are delivered lies with YHN. Performance measures relating to back office functions and income generation through trade also lie with YHN. This is because these are not services being purchased by NCC through the MA, rather they are ways that we seek to support the delivery of those core services.
2.3
The fee, the services to be delivered, the programme of capital works and the performance indicators will all be agreed annually. These will be reflected in our annual Delivery Plan which is brought to Board for decision every year in March. In addition they will be monitored quarterly at Performance Board meetings which present an opportunity for both parties to discuss any issues affecting service delivery or performance. Page 1 of 77
2.4
The MA follows a template which is commonly used by councils with ALMOs. The work to make it suit our purposes has been undertaken jointly and collaboratively by officers in both organisations and there are no areas of dispute.
2.5
The term of the MA is ten years. The notice period for material change to service provision from either party to the other, is 12 months, unless a shorter period can be jointly agreed.
3.
The Business Implications
3.1
Mission and Strategic Objectives: The MA is designed to help us achieve our mission and strategic objectives, while supporting those of our shareholder, NCC. It is sufficiently flexible to allow changes to the Mission and Strategic Objectives as they occur through Business Strategy review processes.
3.2
Value for money/efficiencies: The MA contains a requirement for efficiencies. In addition this is enshrined in the Management Fee principles.
3.3
Financial Implications: The MA sets out the way in which YHN’s fee will be determined.
3.4
Resources (financial, property, technological or human): The MA broadly allows YHN to deploy resources as we see fit to deliver the outcomes required by NCC. Oversight of our finances by YHN Board will be essential to ensure that this is managed appropriately.
3.5
Impact on services/performance: The MA includes a commitment to continuous improvement. The services that we are commissioned to provide will be detailed in our annual Delivery Plan.
3.6
Outcomes for tenants/leaseholders: The MA should be seen alongside our Business Strategy and Delivery Plan, where the details will feature. The MA contains a principle of payment for outcomes to be defined by measured indicators.
3.7
Risk (reputation, relationship): The MA, coupled with disaggregation, means that the HRA’s risks are more directly controlled by NCC, whilst YHN’s risks are controlled by YHN’s Board.
3.8
Environmental: None
3.9
Legal: NCC lawyers are the authors of the agreement.
3.10
Equality and Diversity and Community Cohesion: None
3.11
Stakeholder Involvement/consultation: this has been a collaborative piece of work. In addition a presentation was made to the Board meeting of May 2015, a report in July and additional sessions in September. A session with tenants was held in July.
4.
Conclusion and recommendations Board is recommended to agree the content of the main part of the MA and note the next steps in section five.
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5.
Implementation The capital programme for 2016-17 will be agreed by Cabinet at the January meeting. The Delivery Plan for 2016-17 will be brought to the March Board meeting and will include the performance indicators to demonstrate delivery of service outcomes. NCC will agree the MA from their perspective at January’s Cabinet meeting. The actual fee level for 2016-17 will be set at the March Cabinet meeting as part of the wider budget processes. Background Papers Board meetings of May and July 2015 Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Sheila Breslin by telephone on 0191 278 8707 or email sheila.breslin@yhn.org.uk
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5
5
Dated ** November 2015
THE COUNCIL OF THE CITY OF NEWCASTLE UPON TYNE and YOUR HOMES NEWCASTLE LIMITED
Agreement for the delivery of housing management and other services from April 2016
Page 4 of 77
Agreement dated Parties (1)
THE COUNCIL OF THE CITY OF NEWCASTLE UPON TYNE of Civic Centre, Barras Bridge, Newcastle upon Tyne NE1 8PB (the Council)
(2)
YOUR HOMES NEWCASTLE LIMITED whose registered office is Civic Centre, Barras Bridge, Newcastle upon Tyne NE1 8PB (YHN)
Introduction (A)
The Council is the local housing authority for its area pursuant to Sections 1 and 2 of the Housing Act 1985 (1985 Act) and pursuant to the powers contained in the 1985 Act provides housing accommodation and exercises general management, regulation and control of its housing accommodation.
(B)
Pursuant to Section 27 of the 1985 Act and with the approval of the Regulator and pursuant also to Section 1 of the Localism Act 2011 and all other enabling powers the Council agrees that YHN shall exercise such of the Council's management functions as are specified herein.
(C)
The Council and YHN have agreed that YHN shall provide and the Council shall co-operate with it in providing the Services in the manner and upon the terms hereinafter set out.
1
Definitions and interpretations
1.1
The definitions used are as follows: ALMO means arms length management organisation; Asset Management Services means those services described in section 3 of the Specification and Asset Management shall be construed accordingly; Constitution means articles of association; Council's Representative means the Council's Director of Investment and Development or such other person with a similar role (e.g. Head of Housing) who may be nominated from time to time by the Council; Expert shall be a recognised expert in council housing management agreed to be appointed by the parties and in default of agreement nominated at the request of either party by the President of the Chartered Institute of Arbitrators;
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Fee means the Management Services Fee, the Stock Maintenance Services Fee, the Asset Management Services Fee and the Service Charge Services Fee payable by the Council pursuant to and calculated in accordance with Clause 9 and the fee principles set out in Schedule 5; Financial Year means the period from 1 April to 31 March; HCA means the Homes and Communities Agency; HRA means the Housing Revenue Account; HRA Business Plan means the (30-Year) self-financing business plan at the date hereof as revised from time to time (in consultation with YHN); KPIs means key performance indicators; Management Services means those services described in section 1 of the Specification and Management shall be construed accordingly; Management Services Fee means the fee payable to YHN under Clause 9 for the provision of the Management Services and Stock Maintenance Services Fee, Asset Management Services Fee and Service Charge Services Fee shall be construed likewise; New-Build Capital Programme means any new-build activity undertaken within the HRA of housing or other stock including, but not restricted to, new-build HRA properties constructed on Council-owned land, new-build HRA properties constructed on land purchased through the HRA or for the purposes of the construction of HRA dwellings. Objects means the objects set out in YHN's Constitution; Other Legislation means that legislation relating to (inter alia) data protection, health and safety, freedom of information, the promotion of equality and diversity and other matters ancillary to housing management to which YHN is subject and which applies to the Services; Regulator means the HCA (acting through the Regulation Committee established by it) or any successor authority; Representatives means collectively the Council's Representative and YHN's Representative; Retained Housing Service means the Council's statutory and other housing functions and services (whether financed out of the HRA or General Fund) not outsourced to YHN; Review of Services means the review described in Clause 3;
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5
Right to Manage is the right exercisable pursuant to the Housing (Right to Manage) Regulations 2008; Self-financing means the financing arrangements for the HRA which were implemented in April 2012; Service Charge Services means those services described in section 4 of the Specification and Service Charge shall be construed accordingly; Services means the services described in the Specification, and any other services which from time to time are provided by YHN pursuant to Clause 2 subject to any variations pursuant to Clause 4; Specification means the document which forms Schedule 1 including any variations pursuant to Clause 4; Stock Acquisition means the purchase of land or property using the HRA ring fenced capital fund for the purpose of acquiring land/property assets to provide additional rental units within the HRA; Stock Maintenance Services means those services described in section 2 of the Specification and Stock Maintenance shall be construed accordingly; Stock Maintenance and Asset Management Programme means the Stock Maintenance and Asset Management Programme described in Schedule 3 subject to any revisions made in accordance with Clause 5; Tenant means any person occupying a Council dwelling as his or her principal home, whether pursuant to a tenancy agreement, licence or otherwise, any person occupying any residential property pursuant to a lease granted by the Council, or any person occupying any dwelling part-owned by the Council; Works means the subject-matter of the Works Contracts; Works Contracts means contracts let and/or administered by YHN pursuant to Clauses 6-7; Works Fees means the fees payable to YHN under Clause 9 in connection with the delivery of the Stock Maintenance and Asset Management Programme; YHN's Representative means YHN's Chief Executive or such other person with a similar role who may be nominated from time to time by YHN. 1.2
A reference to any Act of Parliament, or to any order, regulation, statutory instrument, or the like, shall be deemed to include a reference to any amendment, re-enactment, consolidation, variation, replacement or extension of the same respectively from time to time and for the time being in force.
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1.3
A reference to any statutory authority, agency or regulatory body shall include a reference to any other such authority, agency or regulatory body which from time to time carries on substantially the same functions.
1.4
Wordings denoting the singular shall include the plural and vice versa and words denoting the masculine gender shall include the feminine gender and vice versa and words denoting persons shall include firms and corporations.
1.5
References to clauses, schedules and annexes shall be deemed to be references to the clauses in and the schedules and annexes to this Agreement as so numbered.
1.6
In this Agreement headings are included for ease of reference only and shall not affect this Agreement or the interpretation thereof.
2
YHN Services
2.1
YHN will provide the Services as set out in the Specification (to be found at Schedule 1 to this Agreement) so as to deliver the outputs and (subject to Clause 2.2) any KPIs set out therein.
2.2
The KPIs referred to in the Specification will be reviewed as part of the review process described in Clause 3.
2.3
Unless expressly agreed by the Council’s Representative in writing in advance, the Services must be provided by YHN or any charitable or trading subsidiary thereof.
3
Review of Services
3.1
Save in relation to KPIs the Services provided by YHN shall only be varied in accordance with Clause 4.
3.2
The KPIs in the Specification shall be reviewed by the Council and YHN in each year of this Agreement pursuant to the timetable set out in the fee principles document which forms Schedule 5 to this Agreement. The Council acting reasonably will set realistic KPIs for the following year. Changes to the then current KPIs will only be deemed realistic if they reflect: 3.2.1
service standards achieved by other housing managers working in comparable circumstances;
3.2.2
the resources made available to YHN by the Council for the relevant Services
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5
4
Variation to Services
4.1
Subject to Clause 4.2, or in cases where the Council and YHN agree to a shorter period, the Council will only vary the nature and extent of the Services by giving YHN at least 12 months’ notice thereof.
4.2
In the following circumstances the Council shall be entitled to vary the Services as such circumstances require and shall give YHN as much notice thereof as is practicable: 4.2.1
the exercise of the Right to Manage;
4.2.2
formal steps taken by the Regulator.
4.3
The parties shall discuss the variation of the Services on a yearly basis and shall commence such discussions each year pursuant to the timetable set out within the fee principles document attached at Schedule 5 to this Agreement.
4.4
Where the Council varies the Services in accordance with this Clause 4, the Council may make a commensurate variation to the Fee in accordance with Clause 9.4 and the principles in Schedule 5.
5
Stock Maintenance and Asset Management
5.1
YHN agrees to assist the Council to produce a Stock Maintenance and Asset Management Programme on a rolling four year basis which will be agreed annually.
5.2
YHN agrees to assist the Council to deliver the Stock Maintenance and Asset Management Programme by: 5.2.1
letting and/or administering the (revenue funded) Stock Maintenance Works Contracts in accordance with Clause 6; and
5.2.2
letting and/or administering the (capital funded) Asset Management Works Contracts in accordance with Clause 7.
5.3
The parties shall review the Stock Maintenance and Asset Management Programme on a yearly basis and shall commence each review no later than 1 July each year.
5.4
The review may take account of (inter alia): 5.4.1
the Council’s strategic housing plans;
5.4.2
changing standards (such as energy efficiency);
5.4.3
future stock condition surveys;
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5.4.4
legal and regulatory requirements (relating to fire safety and other matters);
5.4.5
housing needs and the changing household demographic of Newcastle upon Tyne;
5.4.6
the 30 year HRA Business Plan;
5.4.7
external funding opportunities;
5.4.8
sustainability of the Council’s housing stock
5.5
Any revisions arising from Clauses 5.2 and/or 5.3 shall give rise to a commensurate revision of the Stock Maintenance and Asset Management Fees pursuant to Clause 9.
6
Stock Maintenance Works Contracts
6.1
YHN will let and administer such Stock Maintenance Works Contracts as the Council and YHN (acting reasonably) deem fit/necessary to deliver the Stock Maintenance element of the Stock Maintenance and Asset Management Programme. Should the Council choose to act on its own behalf it will give YHN 12 months’ notice of any proposed changes to the existing arrangements. Such Stock Maintenance Works Contracts would comprise, for example, repairs and maintenance, void repairs, painting programmes, gas servicing, equipment and building servicing and health and safety measures.
6.2
YHN’s responsibilities in regard to the letting and administration of revenue funded Stock Maintenance Works Contracts will comprise the following potential arrangements: •
Procurement and provision of maintenance services through partnering or commissioning arrangements comprising a number of agencies acting together;
•
Procurement and provision of maintenance services through any service level agreement between YHN and the Council; or
•
Procurement and provision of maintenance services by direct delivery by YHN
6.3
In the procurement of any Stock Maintenance Works Contracts YHN will comply with all applicable European Union and other regulations and take all reasonable steps to adhere to best procurement practice and achieve value for money.
6.4
YHN will stipulate provisions in the Stock Maintenance Works Contracts (when they are let) so as to take reasonable account of possible future revisions of the
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5
Stock Maintenance and Asset Management Programme in accordance with Clauses 5.2-3 (but without prejudice to Clause 5.4). 7
Asset Management Works Contracts
7.1
YHN will let and administer such Asset Management Works Contracts as the Council and YHN (acting reasonably) deem fit/necessary to deliver the Asset Management element of the Stock Maintenance and Asset Management Programme. Should the Council choose to act on its own behalf it will give YHN 12 months’ notice of any proposed changes to the existing arrangements. Such Asset Management Works Contracts would comprise, for example, new bathrooms, heating, rewiring, new kitchens, re-roofing, replacement doors and windows, lift refurbishment, district and group heating, asbestos removal, fire prevention and fire risk assessment remedial work.
7.2
YHN’s responsibilities in regard to the letting and administration of capital funded Asset Management Works Contracts will comprise the following potential arrangements: •
Procurement and provision of maintenance services through partnering or commissioning arrangements comprising a number of agencies acting together;
•
Procurement and provision of maintenance services through any service level agreement between YHN and the Council; or
•
Procurement and provision of maintenance services by direct delivery by YHN
7.3
In the procurement of any Asset Management Works Contracts YHN will comply with all applicable European Union and other regulations and take all reasonable steps to adhere to best procurement practice and achieve value for money.
7.4
YHN will stipulate provisions in the Asset Management Works Contracts (when they are let) so as to take reasonable account of possible future revisions of the Stock Maintenance and Asset Management Programme in accordance with Clauses 5.2-3 (but without prejudice to Clause 5.4).
8
Provision of information
8.1
Subject to Clause 8.4 below, in accordance with the timetable which is included in the fee principles document attached at Schedule 5 to this Agreement, and in any event no later than 30 working days following the end of each Quarter, YHN will provide the Council with such information as may reasonably be required to demonstrate YHN's delivery of the Services.
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8.2
The parties (acting reasonably) shall from time to time agree the format for the reports required under Clause 8.1.
8.3
Where, through the reporting process outlined in Clause 8.1 above or at any other time during the course of this Agreement, any information comes to the attention of YHN which it reasonably considers would be of material concern to the Council, YHN will report this information to the Council immediately.
8.4
Without prejudice to any of the foregoing provisions of this Clause 8, YHN will provide the Council with such additional information as the Council may from time to time require.
9
Fee
9.1
For the first Financial Year of this Agreement (here meaning the period to 31 March 2017) the Council will pay YHN ÂŁ[XXX] for the provision of the Services in accordance with Clauses 2-3. The Council will take into account the varying levels of the fees, as a result of Tenant demand, attributable to those elements set out in section 4 of the Specification and will pay for these elements in accordance with the principles set out at Appendix 3 of Schedule 5 to this Agreement.
9.2
The Fee referred to in Clause 9.1 has been calculated and/or is deemed to be attributable to the Services as shown in Schedule 4.
9.3
YHN shall be entitled to use the Fee as it sees fit to deliver the Services.
9.4
The Fee shall only be varied in accordance with this Clause 9.4: 9.4.1
the parties will commence discussions on the Fee for the next Financial Year no later than 1 October each year in accordance with the guidance on fee principles attached at Schedule 5;
9.4.2
the discussions referred to in Clause 9.4.1 will be based on the Fee Principles in Schedule 5;
9.4.3
any variation of the Fee may be commensurate with the variation of the Services in accordance with Clause 4 based so far as practicable and relevant on the initial calculation of the Fee as described in Clause 9.2 and provided that the Stock Maintenance and Asset Management elements of the Fee shall always be sufficient to enable YHN to discharge its obligations under the Stock Maintenance and Asset Management Works Contracts;
9.4.4
if the parties cannot agree the variation of the Fee and invoke Clause 31 an Expert to whom the dispute is referred shall take into account
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5
any value for money requirement in the Specification subject always to the proviso to Clause 9.4.3. 9.5
The Fee due and payable under this Clause 9 shall be paid monthly on presentation of an invoice by YHN.
10
Surpluses and reserves
10.1
Subject to Clauses 10.2-4 YHN shall be entitled to use any of its own available surpluses or reserves as it sees fit on and/or in the furtherance of any of its Objects.
10.2
Surpluses and/or reserves shall only be deemed to be available for the purposes of Clause 10.1 if this is consistent with generally accepted accounting practice or specific confirmation from YHN's auditors.
10.3
YHN shall use any of its own available surpluses or reserves to meet any in-year shortfall in the Services Fee.
10.4
YHN shall keep the Council informed about the use of its surpluses and reserves.
11
Additional income-generation
11.1
YHN shall be entitled to pursue and exploit opportunities for income generation with third parties provided that: 11.1.1
they are consistent with YHN's Objects or they can be legally pursued and exploited through a wholly owned subsidiary;
11.1.2
YHN's ability to discharge its obligations hereunder is not adversely affected;
11.1.3
any proposed commitment by YHN is expressly approved by YHN's board and is recorded at the next appropriate meeting between YHN and the Council;
11.1.4
any proposed commitment by YHN which may add to its liability to the extent that YHN’s total liabilities may reasonably be taken to be in excess of YHN’s reserves shall be first approved in writing by the Council.
12
Continuous Improvement
12.1
The parties acknowledge the importance of the principle of continuous improvement in the provision of the Services and the delivery of the Stock Maintenance and Asset Management Programme and accordingly:
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12.1.1
YHN will regularly review how better to perform its obligations hereunder; and
12.1.2
the Council will support YHN to improve its performance.
12.2
Continuous improvement will result in either or both improved standards or greater cost-effectiveness.
12.3
The processes for agreeing a programme and priorities for service improvement are included within the document at Schedule 5.
13
Improvement of Service Delivery and year-on-year cost efficiencies
13.1
Improvement in the delivery of Services will be effected through the KPIs agreed in accordance with Clauses 2-4 and Schedule 5.
13.2
Year-on-year efficiencies will be achieved by delivering the Services for less than the Fee.
14
Annual Delivery Plans
14.1
Each year the parties will agree through their Representatives priorities for improvements in the delivery of the Services and the Stock Maintenance and Asset Management Programme and so far as practicable the agreed priorities in the form of annual delivery plans will be taken into account in the review processes described in Clauses 3 and 5 (subject always to the terms thereof).
14.2
The required consultation on the Delivery Plan with tenants and other interested parties will be led by YHN. The Council’s involvement will be co-ordinated by the Council’s Representative in conjunction with relevant lead officers and members.
14.3
The process and timetable for implementation of the annual delivery plan is set out in Schedule 6 to this Agreement.
15
New Build and Acquisition of Property and/or Land
15.1
Subject to Clause 15.2 the Council will work with and support YHN to maximise opportunities for carrying out new development within the HRA by (inter alia): 15.1.1
actively bidding to the HCA, the Department of Health and any other appropriate source for investment funding;
15.1.2
supporting YHN to bid for external funding where an ALMO is eligible to apply;
15.1.3
applying for and using all reasonable endeavours to obtain necessary consents and approvals;
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5
15.1.4
facilitating the establishment of a charitable subsidiary or otherwise making or approving such changes to YHN's Constitution as may assist;
15.2
Nothing in Clause 15.1 shall prevent the Council working as it sees fit with other organisations to deliver new housing (affordable or otherwise).
15.3
YHN will devote such resources as it can reasonably make available to carrying out the development of new social or mixed use housing in accordance with the Council's housing strategy (including any specific stipulations concerning housing need and rent levels). Where possible, any new housing or properties will concur with standards and best practice reflected in the Council’s policies or the sector generally. Where funding or technical constraints limit the ability of YHN to achieve these standards the final specification will be agreed with the Council.
15.4
YHN will assist the Council to explore new markets and ways to meet the housing need of the City of Newcastle upon Tyne, including housing to be let at a social or affordable rent, intermediate housing, or housing for market sale.
16
The governance of YHN
16.1
Subject to Clauses 16.2 and 16.3 the Council may send nominated representatives to attend meetings of YHN's board and/or relevant meetings of YHN committees, and by prior arrangement those representatives will be invited to make a factual statement in respect of the agenda item(s) of relevance to them.
16.2
It shall be a condition of attendance at board and committee meetings pursuant to Clause 16.1 that the representatives agree to be bound by the same duties of confidentiality and other matters as board and committee members.
16.3
Representatives attending board or committee meetings pursuant to Clause 16.1 may be required to leave for any part of the meeting (or any matter discussed thereat) which the board or committee reasonably deems confidential.
16.4
The right of the Council to send nominated representatives to board and/or committee meetings outlined at Clause 16.1 above shall extend to board and/or committee meetings of any subsidiary company of YHN, and any nominated representatives attending such meetings shall be subject to the conditions of attendance outlined at Clauses 16.2-3 above.
17
Changes in YHN's role and activities
17.1
The parties acknowledge that YHN's role and activities on behalf of the Council will be subject to change including changes resulting from:
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17.1.1
regulatory or statutory requirements;
17.1.2
tenant and/or leaseholder expectations;
17.1.3
Council policy objectives
and accordingly this Agreement will need to be varied or otherwise incorporate such changes. 17.2
In order to give effect to the changes referred to in Clause 17.1 but without prejudice to Clauses 3 - 5 and subject to Clauses 17.3 and 20 the parties (acting reasonably) will agree a protocol for identifying and documenting such changes.
17.3
Any change pursuant to this Clause (and any consequential variation to this Agreement) may be accompanied by an adequate adjustment of the Fee or other resources needed to implement such change.
18
Services provided by the Council
18.1
The Council will provide the services described in Schedule 2 for the fee(s) set out therein.
18.2
If the Council and YHN agree that the Council will provide an additional service to YHN a description of that such service (in the same form as set out in Schedule 2) will be prepared together with the agreed fee (or fee formula) therefor. The description and fee will be deemed to be incorporated in Schedule 2.
18.3
Unless the parties agree to a shorter period of time, YHN agrees to consult with and give at least twelve (12) months prior notice to the Council if it decides not to renew or extend any service level agreement or service contract with the Council.
19
Council's financial support for YHN
19.1
The Council shall provide and evidence such support for YHN as shall be required to enable YHN's auditors to confirm from time to time to YHN's board of directors that YHN is and will continue to be able to meet its debts as they fall due and is otherwise a 'going concern'.
19.2
Without prejudice to Clause 19.1 and subject to Clause 19.3 the Council agrees that whether through the Fee or otherwise it shall ensure that YHN is able to discharge its liabilities for the pensions costs attributable to YHN's past, present and future employees.
19.3
YHN will not knowingly take any steps (including the recruitment of new employees) which are likely to add materially to the Council's potential total
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5
liability under Clause 19.2 without first obtaining the Council's consent (which shall not be unreasonably withheld or delayed). 20
The HRA ring-fence The parties acknowledge that HRA income and expenditure is and remains (following the implementation of Self-financing) subject to the requirements of the statutory ring-fence and they will use all reasonable endeavours to maximise the benefits of the HRA for the Council's tenants.
21
Council responsibilities and entitlements It is understood and agreed that the Council:
21.1
is and remains statutorily responsible for the HRA;
21.2
will set rents and other charges for its Tenants each year;
21.3
may vary the Fee in accordance with Clause 9;
21.4
can review any KPIs in accordance with Clause 4.
22
Council duties to YHN
22.1
The Council acknowledges that its own performance in providing the services described in Schedule 2 to YHN could have an impact on YHN’s ability to provide the Services set out in the Specification or to meet any of the KPIs set out therein. The Council also acknowledges that other external factors outside of YHN’s control may adversely impact YHN’s ability to provide the Services or meet the KPIs.
22.2
Where any provision of this Agreement refers to YHN’s performance of the Services in any way, the Council will always take into account the effect of its own performance or the pressure of external factors in determining YHN’s performance of the Services.
23
Section 151 duty It is acknowledged that the Council's Director of Resources has statutory duties under Section 151 of the Local Government Act 1972 and nothing in this Agreement shall be construed as preventing that officer from doing such acts or things as are properly required for the discharge of such duties.
24
Consultation on HRA matters In addition to the requirements of Section 105 of the 1985 Act the Council agrees to consult with its tenants and leaseholders on major issues affecting the HRA including rent-setting and the overall budget.
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25
Term
25.1
This Agreement shall expire on 31 March 2026 unless it is terminated on any fifth anniversary of the Agreement by the Council giving YHN at least twelve (12) months prior written notice of any review which could lead to termination and at least six (6) months prior written notice of termination.
25.2
For the avoidance of doubt the Council is entitled to terminate this Agreement under Clause 25.1 free of any contractual constraints.
25.3
Clause 25.1 is without prejudice to the Council's rights under Clause 26.
26
Termination
26.1
Subject to Clauses 26.2-3 the Council shall be entitled to terminate this Agreement if YHN fails to comply with the terms hereof or if in the Council's reasonable opinion there is a serious and substantiated risk that YHN will shortly fail so to comply.
26.2
Unless YHN's actual or anticipated failure which would entitle the Council to terminate this Agreement under Clause 26.1 cannot (in the Council's reasonable opinion) be remedied YHN shall be afforded a reasonable opportunity (including where appropriate a remedial plan) to comply or demonstrate that it will shortly comply with the terms hereof.
26.3
For the purposes of Clauses 26.1 and 26.2 a failure to comply with any KPIs shall be deemed capable of being remedied unless the failure represents so significant a performance failure in the opinion of the Council (acting reasonably) that it is unacceptable in the context of the relationship between the Council and YHN and has caused a breakdown in trust and confidence that cannot be retrieved.
26.4
If the Council becomes entitled to terminate this Agreement it may decide to terminate the whole or any part hereof and either provide the Services itself or procure that any third party do so and YHN will take such steps as may reasonably be required to give effect to the Council's decision.
26.5
The Council shall have a right to terminate this Agreement where it is required to enter into an agreement with a Tenant Management Organisation (TMO). If the Agreement is terminated under this Clause 26.5 the Council and YHN shall within three months of such termination make all necessary arrangements for the transfer of the relevant functions from YHN to the TMO.
26.6
This Agreement shall be terminated if such requirement is imposed pursuant to Section 247(2) or 249(2) of the Housing and Regeneration Act 2008. If the Agreement is terminated pursuant to this Clause 26.6 the Council and YHN shall
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make all necessary arrangements for the transfer of the relevant functions from YHN. 26.7
This Agreement shall be terminated if both the Council and YHN agree to this course of action, and the Council and YHN acting together shall agree an appropriate timetable for the transfer of the relevant functions from YHN to the Council or such other party as may be necessary.
27
Access to information YHN will afford the Council and persons properly authorised by it access to any information reasonably required provided that the Council gives YHN appropriate notice thereof.
28
Insurances etc
28.1
YHN shall at all times maintain in force policies of insurance with reputable insurers or underwriters as shall insure and indemnify YHN (on the usual terms available in the market) against YHN's liability to: 28.1.1
the Council and any employee of the Council;
28.1.2
the employees of YHN;
28.1.3
any other person
in respect of any one occurrence or series of occurrences arising out of one event, and YHN shall ensure that the level of cover provided by any such policy of insurance is at all times equal to, or greater than, the level of cover provided by the Council’s own policies of insurance in respect of the same potential risks and liabilities. 28.2
The Council shall itself insure against all the usual risks associated with its housing stock and acknowledges that YHN has no liability therefor.
28.3
YHN will establish and maintain policies and procedures designed to (a) maintain so far as practicable continuity of business during periods of disruption caused by abnormal circumstances and (b) manage so far as practicable the risks facing it.
29
Dispute resolution
29.1
Save as otherwise provided in this Agreement, in the event of any dispute between the parties arising out of or in connection with this Agreement the parties shall in the first instance use their reasonable endeavours to resolve it amicably between them in accordance with the procedure set out below:
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29.1.1
Stage 1: Representatives of the parties (being the officers having day to day responsibility for or knowledge of the area which is the subject of the dispute) shall meet within ten working days. If they are unable to agree a resolution at such meeting or if there shall be no appropriate officers of each of the parties available to attend such meeting then move to Stage 2.
29.1.2
Stage 2: The relevant Representatives or their nominated deputies shall meet within ten working days. If they are unable to agree a resolution at such meeting or if there shall be no appropriate officers of each of the parties available to attend such meeting then move to Stage 3.
29.1.3
Stage 3: The Director of Investment and Development of the Council and the Chief Executive of YHN or their nominated deputies shall meet within ten working days.
29.1.4
In seeking to resolve any dispute considered under Stage 1, Stage 2 or Stage 3 the parties shall apply the following principles: (a)
a spirit of mutual trust and co-operation
(b)
both parties shall bear their own costs
(c)
the parties shall extend the periods of negotiation if they both agree to do so
(d)
any unanimous decision shall be implemented.
29.2
Disputes remaining unresolved after following the procedure set out in Clause 29.1 shall be referred to an Expert.
29.3
Subject to Clauses 29.4-7 the result of any dispute resolution procedure under this Clause 29 shall be final and binding on the parties (save in the event of fraud or a mistake in law or material fact) and shall where and to the extent necessary and appropriate be reflected in a variation to the provisions of this Agreement.
29.4
No resolution of any dispute pursuant to this Clause 29 shall be final and binding on the parties unless the Council's Representative confirms the Council's agreement pursuant to Clause 29.5.
29.5
Subject to Clause 29.6 the Council's Representative shall confirm the Council's agreement to an Expert's decision within 20 working days thereof (the Confirmation Period) and if he fails to do so then subject to Clause 29.6 the decision shall be final and binding on the parties.
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29.6
If within the Confirmation Period the Council's Representative notifies YHN's Representative of the Council's disagreement with the Expert's decision the Council shall have 10 working days thereafter to make another decision and that decision (which shall be notified to YHN's board with the Council's reasons therefor) shall be final and binding on the parties.
29.7
If the Council fails to make another decision in accordance with Clause 29.6 the Expert's decision shall be final and binding on the parties.
29.8
Until such time as a dispute between the parties is resolved or concluded in accordance with this Clause 29 the parties shall continue to comply with their respective obligations under this Agreement.
30
Regulator This Agreement is subject to the Regulator's right to direct the variation or termination thereof and the parties will take all steps necessary to give effect to any such variation or termination.
31
Other legislation Without prejudice to YHN's obligations to comply with housing and related legislation as set out in the Specification YHN will comply with all Other Legislation.
32
Value added tax All payments by any party to another party pursuant to the terms of this Agreement shall be exclusive of any Value Added Tax chargeable in respect of the supply of goods or services for which the payment is consideration and in so far as such payments fall to be made under this Agreement such Value Added Tax shall be added to the amount thereof and paid in addition thereto upon production of a proper Value Added Tax invoice.
33
Interest on overdue payments Save where payment is reasonably disputed by one party and the other party has been notified of such dispute, if and whenever any payment due in accordance with this Agreement shall at any time remain unpaid for a space of twenty-one days next after becoming payable a further and additional sum by way of interest on the same calculated on a day-to-day basis at an annual rate higher by two per cent than the Base Rate of the Bank of England in force from time to time from the date upon which such sum first became payable shall (if demanded) be accounted for (as if paid) by the defaulting party to the other party.
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34
No partnership Nothing in this Agreement shall be construed as creating or implying any partnership between the parties hereto and save as expressly provided nothing in this Agreement shall be deemed to make YHN the agent of the Council or authorise YHN to:
34.1
Incur any expenses on behalf of the Council;
34.2
Enter into any engagement or make any representation or warranty on behalf of the Council; or
34.3
Commit or bind the Council in any way whatsoever without in each case obtaining the Council's Representative's prior written consent.
35
Survival of this Agreement
35.1
Insofar as any of the rights and powers of the Council provided for in this Agreement shall or may be exercised or exercisable after the termination or expiry of this Agreement the provisions of this Agreement conferring such rights and powers shall survive and remain in full force and effect notwithstanding such termination or expiry.
35.2
Insofar as any of the obligations of YHN provided for in this Agreement remain to be discharged after the termination or expiry of this Agreement the provisions of this Agreement imposing such obligations shall survive and remain in full force and effect notwithstanding such termination or expiry.
36
Severance If any provision of this Agreement comes or is declared invalid or unenforceable this shall not affect any other provisions which shall all remain in full force and effect.
37
No assignment No party shall be entitled to assign this Agreement or any of the rights hereunder to any other party.
38
Notices etc
38.1
Any notice or other communication to be given the Council under this Agreement shall be sufficiently served if served personally on the Council or sent by prepaid first class post to the address given at the head of this Agreement or by electronic mail to the central email addresses given on the Council’s website.
38.2
Any notice or other communication to be given to YHN under this Agreement shall be sufficiently served if served personally on YHN or sent by prepaid first
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class post to YHN House, Benton Park Road, Newcastle upon Tyne NE7 7LX or by electronic mail to the central email addresses given on YHN’s website. 40.3
Subject to proof to the contrary, the notice or other communication shall be deemed to have been received on the second working day after the day of posting or on successful transmission, as the case may be.
39
Third party rights No rights are conferred under this Agreement pursuant to the Contracts (Rights of Third Parties) Act 1999.
40
Concurrent remedies No right or remedy for any party under this Agreement is exclusive of any other right or remedy and each such right or remedy shall be cumulative and enforceable concurrently and shall be without prejudice to pre-existing obligations.
41
Variation Except as otherwise expressly provided, no variation of this Agreement shall be valid unless it is in writing and executed and delivered as a deed by or on behalf of each of the parties.
42
Confidentiality
42.1
The parties agree to keep the subject matter of this Agreement confidential subject only to statutory duties and/or usual contractual obligations.
42.2
It is acknowledged by the Council that notwithstanding YHN's status as the Council's subsidiary YHN may have commercial and other interests which are confidential to YHN.
43
Law This Agreement shall be governed and construed according to English law.
This Agreement has been entered into as a deed and is delivered on the date stated at the beginning The COMMON SEAL of the COUNCIL OF THE CITY OF NEWCASTLE UPON TYNE ) was affixed ) in the presence of: )
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The SEAL of YHN was affixed in the presence of:
5
) ) )
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Schedule 1 – YHN's Services (Clause 2) [Insert Delivery Plan annually (abridged to remove non HRA activity)]
The Annual Delivery Plan will include specific services paid for through Tenant Service Charges. The Management Fee paid to YHN will include elements attributable to the Six Service Charge Areas set out in Appendix 3 to Schedule 5 of this Agreement and will vary according to Tenant demand.
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Schedule 2 – Services provided by the Council (Clause 20) Part 1 – [Description of Service] 1
Service outputs [including targets/KPIs?] [
2
]
Fee(s) [
] [fixed/formula based – NB indexation?]
[repeat for each service area in succeeding Parts – distinguishing between SLAs (fixed term/mandatory) and Service Contracts (call-off/discretionary)] • • • • • • • • • • • • • • • • • • • • • •
Grounds Maintenance Information Technology Street Wardens Building Cleaning Legal Services Street Cleansing Transport Highways Income Pest Control Energy Property 2 (acquisitions/disposals) Security - Void Alarms Employee Admin Services Property 1 (RTB) Occupational Health Services Internal Audit Corporate Business Management/Procurement Learning Management System Complaints Democratic Services Operational HR Contract
OR annex SLAs/SCs?] OR just cross refer to the SLAs/SCs?
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Schedule 3 – Stock Maintenance and Asset Management Programme (Clause 6) [Describe the programme, including the expenditure profile, as included/assumed in the Self-financing business plan – distinguishing between (a) Maintenance (for which YHN is paid from revenue?) and (b) Improvement (for which YHN is paid from capital?)]The obligations set out in Clause 6 will be reviewed on an annual basis and any changes set out in the yearly Investment Programme/Delivery Plan.Stock Maintenance Repairs, maintenance and property reinstatement: Day to day repairs and maintenance Out of hours emergency repairs provision Provision of customer contact centre for repairs Reinstatement of empty properties Disabled adaptation maintenance and repair Domestic stair lift repairs Passenger lift repairs Cyclical Maintenance Gas servicing and safety inspections Smoke alarm testing and inspection Fire alarm and emergency lighting testing and inspection Intruder alarm testing and inspection CCTV testing and inspection Lightning conductor testing and inspection Portable appliance testing and inspection ICLS testing and inspection 10 year domestic electrical testing and inspection Five yearly communal area testing and inspection
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District, community and communal heating system testing and inspection
5
Domestic stair lift testing and inspection Passenger lift testing and inspection Emergency fire-fighting equipment testing and inspection Water hygiene testing and inspection Air conditioning testing and inspection Communal laundry equipment testing and inspection Communal soil stack testing and inspection High rise property window maintenance Improvement Programme Lifecycle Programme - The asset management system is updated as surveys are completed and reality checks are carried out. This provides detailed information on what work is required on which estate in any year. The programme will continue to include a provision for voids, one off reactive boiler replacements and a mop up programme for Modern Homes omits. It will also continue to replace internal elements including bathrooms, heating, rewiring and kitchens and external elements such as roofing and doors and windows. The life cycle programme also ensures we meet out landlord obligations in relation to communal lifecycles for example lift refurbishment, district and group heating and also in relation to Health and Safety such as asbestos removal, fire prevention and fire risk assessment remedial work. Standard Housing Investment – This programme includes: Spend to save which enables us to respond to Property Maintenance priorities. This enables work previously carried out in a reactive way to be planned to ensure value for money is achieved. Tenants Investment Priorities - A small budget is allocated each year to pick up any sound insulation problems. Health and Safety - A budget has been allocated to respond to any Health and Safety concerns and also to be able to deliver any new initiatives through our liaison with the Fire Service. Energy Efficiency/Fuel Poverty - There are ongoing priorities which have been identified to tackle Fuel Poverty. This includes a fuel switch programme which helps reduce tenants fuel bills.
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Environmental and Communal Programme – This programme includes: Environmental The funding available will see a continuation of the Citywide environmental programme. The priorities for this are identified through feedback from site visits with local housing staff and close working with the environmental services team. Communal Budget is allocated to continue with the communal programme. Priorities are identified linked with net present value, sustainability analysis and also linkage with other internal communal programmes. Participatory Budget The work delivered through this budget is based on what our tenants tell us is important to them. They are able to put forward suggestions and to vote on the preferred projects to be delivered. Regeneration – This programme includes: General Needs re-provision- This budget enables us to respond to any properties which are not ideal for modern living and which are unsustainable in the long term. Priorities are identified based on NPV and sustainability analysis. Sheltered Housing remodelling- A number of blocks within our portfolio represent a problem in terms of sustainability and desirability which alongside the changing demographic profile requires investment. Non housing assets - This programme will continue to deliver garage demolition and refurbishment. It will also deliver any office accommodation improvements as well as improvements to community buildings to help support the asset transfer process. New build and new housing This programme enables us to respond to changing demographics, housing needs, demands and the offer in the local area. It also enables us to respond quickly to opportunities of match funding through for example the Homes and Communities Agency. There is also a small budget for right to buy buybacks.
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Schedule 4 – Fee (Clause 10) [Set out pro forma breakdown of the Fee – to facilitate discussions/negotiation in subsequent years – query by reference to relevant headings of the Specification or by cost elements instead?].
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Schedule 5 – Fee Principles (Clause 10.4 ) NCC YHN Management Fee 2016/17 1. Principles The initial service areas will be set out in a schedule in the management agreement appendix 1. It will specify the service areas YHN are delivering to NCC under the management agreement, the associated recurring and non-recurring fees and the required outcomes. It should be noted that there are separate fees for HRA service charge areas including CCAS, concierge and furniture service. These service charge areas, and the principles for calculating the fees payable for these areas of activity are set out at Paragraph 5 and Appendix 3 to this Schedule below. 2. Monitoring and officer liaison •
There will be a regular “Client” meeting to consider YHN financial and nonfinancial performance (this will cover s151 issues). Attendees will be: o NCC: Director of Resources, Director of Investment and Development, Assistant Director of Financial Services and Head of Fairer Housing o YHN: Management Team and Head of Finance Previous by discussions at Partnering Group and IDG should be considered at Client meetings. These meetings will be minuted and will be reported to YHN Board within the Chief Executives Report, and to NCC Cabinet as a background paper to the quarterly performance report.
•
These quarterly meetings will cover: o YHN delivery of NCC objectives (i.e. against specified outcomes) o NCC spend managed by YHN e.g. grounds maintenance, building cleaning and district heating including impact on broader YHN performance o YHN delivery of HRA capital programme o Variations to the management agreement e.g. new commissioning, revised commissioning o Variations to arrangements for managing NCC costs o Annual review of surpluses and reserves requirement and business case for non-recurring usage; o Medium term outlook particularly in terms of efficiency requirements
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o Agreement of revised management fee for following year (see section 4 below) o Any potential issues / risks that may impact on YHN’s ability to achieve the agreed outcomes •
The schedule for these quarterly meetings is set out in the diagram overleaf:
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• Review Q1 performance (revenue and capital) • Agree variations to management agreement*
• Review Q4 performance (revenue and capital) • Agree reserves for following year, non-recurring use of surpluses*
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Q2
Q1
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• Review Q2 performance (revenue and capital) • Agree variations to management agreement* • Initial discussions about management fee for following year
Q3
• Review Q3 performance (revenue and capital) • Agree variations to management agreement* • Review medium term outlook • Agree management fee for following year*
Q4
3. Please note the indicated agenda items are not intended to be an exhaustive list. Governance Items marked with an asterisk in section 2 are to be agreed as follows: (in line with NCC financial regulations) •
HRA revenue budget changes – any proposals that impact on the HRA revenue budget (including changes to YHN’s management fee) should be shared initially with the Head of the Fairer Housing Unit and the Assistant Director Financial Services to review. A YHN Board report or YHN management team report that sets out the benefits / outcomes to be achieved for the additional investment will be sufficient for this purpose. Following this, the report will be presented to NCC Directors’ Team by the Director of Investment & Development for approval. Following this, the Director of Investment & Development / Head of Fairer Housing Unit will brief relevant Cabinet members to gain informal approval. The proposal can then be implemented in advance of formal approval by way of the next NCC quarterly performance report or by a Member DD or specific Cabinet report if necessary.
•
HRA capital programme changes – any proposals that impact on the HRA capital programme (including movements between investment priority blocks) should be shared initially with the Head of the Fairer Housing Unit and the Assistant Director Financial Services to review. A YHN Board report or YHN management team report that sets out the reasons for the change or the benefits / outcomes to be achieved for the additional investment will be sufficient for this purpose. Following this, the report will be presented to NCC Investment & Development Group by the Director of Investment & Development to gain informal approval. Following this, the Director of Investment & Development / Head of Fairer Housing Unit will brief relevant Cabinet members for informal approval. The proposal can then be implemented in advance of formal approval by way of the next NCC quarterly performance report or by a member DD or specific Cabinet report if necessary.
4. Annual Management Fee agreement It is proposed that the annual management fee is considered as recurring and nonrecurring activity. Recurring fees will be calculated for the following year based on: •
The previous fee ( after any in year variations)
•
Plus: an inflationary uplift (basis to be agreed but could be based on salary inflationary increases)
•
Less: an efficiency target ( as agreed at medium term outlook discussions)
•
Plus: any agreed recurring service variations
Non recurring fees are, by their nature, agreed on a one off basis (although they may extend beyond one year) and should be agreed in the context of the annual review of surpluses and reserves requirement.
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5
An illustrative example is set out in appendix 2 This management fee will be invoiced by YHN a month in advance and paid within 7 days.
5. Matters Supplementary to the Annual Management Fee The Annual Management Fee payable to YHN will include elements attributable to specific services paid for through tenant service charges. A full description of these services is set out in Appendix 3, along with the principles by which the fees payable to YHN for these areas of activity will be calculated.
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Income and Estate Management
C: Housing Management plus
Lettings Service
C: Housing Management plus
32
£x.xm
£x.xm
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A: Oversight of HRA repairs and maintenance
£x.xm
£x.xm
Service
B: Oversight of HRA capital programme
Recurring and non-recurring fee £xxm
Maximum Arrears : 2.36% of annual rent
Rent collection : 99.59% of rent owed
Resolve 93% of anti social behaviour cases investigate
Void rent loss no more than 1.28%
Average re let time not to exceed 25 days
Increase SAP by 0.57 points on ...self contained GN units.
4061 life cycle improvements by 2016/17
11 new build homes
Ave cost per responsive repair not to exceed £xx
Outcomes
Appendix 1
5
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Employability
C: Housing Management plus
Tenant Engagement
C: Housing Management plus
Advice and Support
C: Housing Management plus
YPS
C: Housing Management plus
Leasehold Services
C: Housing Management plus
Service
33
£x.xm
£x.xm
£x.xm
£x.xm
£x.xm
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Recurring and non-recurring fee £xxm
80% apprentices YHYJ to move onto education, employment or training
70% of customers believe that YHN listens and acts on their views
Generate £1 million in Housing Benefit , Discretionary Housing Payment and back dated Housing Benefit by 31/03/2016
Successfully sustain 98% of tenancies where ASW support was received during 2015/16.
To prevent Homelessness in 95% of cases in Homelessness prevention service.
98% of people receiving support from the Young People Service sustain their tenancies during 2015/16.
Maintain percentage of leaseholder service charge collected at XX% during 2015-16
Outcomes
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-
YPS
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Employability
Tenant Engagement
-
-
-
-
Leasehold Services
-
-
Advice and Support
-
-
£
£0
34
£0
-
-
-
-
-
-
-
£0
-
-
-
-
-
-
-
£0
£0
See half as many of cases again as 15/16
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-
£
Additional Recurring Service Additional Variation Recurring Fee Service Variation description 16/17
Efficiency targets are set at a total management fee level and YHN will be free to allocate across services to best meet NCC objectives.
-
Recurring Fee 15/16 including in year service variations Inflationary uplift Efficiency target 2% 3% £ £ £
Estate and Income Management
Lettings Service
Housing Management plus:
Oversight of HRA capital programme delivery
Oversight of HRA repairs and maintenance delivery
Management Service
Appendix 2
-
-
-
-
-
-
-
-
-
£0
Second year of two year apprentice and
Welfare reform response: rent sense etc
Non recurring activity description £
Non recurring activity
-
-
£0
5
Appendix 3
Service Charge Area Fees Proposal Background The management fee proposal agreed by the Newcastle City Council (NCC) Your Homes Newcastle (YHN) Review oversight board explicitly excluded charging by YHN for services provided to HRA tenants on a service charge basis. These service areas are:
• • • • • •
Furniture service (“internal”) Concierge Sheltered Community Care Alarm Service (CCAS) Garden Services Young Peoples Service (YPS) Accommodation charges
The relationships are illustrated below:
Tenant
•Receives service from NCC •Pays service charges to NCC
NCC HRA
•Provides service to tenants •Subcontracts to YHN
YHN
•Provides service to NCC •Fee charged to HRA
There is also a relationship between the general fund and the HRA with regard to “supporting people” funding. At the time of writing the general fund makes budget available to the HRA for services including for example, young people services, advice and support and telecare. The HRA then separately commissions YHN to fulfil these services as required. These services are not within the scope of this document.
Detailed Proposals Service Area Furniture Service
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Specific Service i.
provision of furniture for furnished tenancies to tenants on a rental basis
Issues
Fee basis
Regularity
Price list required (attach as appendix). For 15/16 this would be equal to the service charges for HRA tenants.
HRA will be invoiced using the appropriate year’s price list for all HRA tenants active on Prysim (or the live database for those set up before Prysim)
Invoiced monthly on the last day of the month
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Concierge ii.
provision of services to flats, including: a. building cleaning, b. reception duties, c. safety and security inspections to shared areas d. the monitoring of a citywide CCTV system
Infrastructure costs are met directly by HRA and must be excluded from charge from YHN. Stock numbers change in the medium term Traditionally HRA always subsidised this service, recognising benefits to all residents through safer estates.
Recently the review has reduced level of subsidy significantly. Remaining subsidy limited to capital replacement cost of infrastructure – these to remain in HRA alongside assets themselves Sheltered
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i.
overall housing management and warden service to older customers predominately over the age of 60 who want to live in secure
Stock numbers change in the medium term
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The price list for subsequent years will be the 15/16 list adjusted for the general management fee increment agreed between NCC and YHN. Fixed annual fee based on ‘permanent stock’ Permanent stock to be agreed annually with the fee taking into account planned demolitions and additions. There will be recognition that refurbishment of stock is resourceintensive and temporary, so wouldn’t constitute a change in permanent stock.
Fixed annual fee based on ‘permanent stock’ as above.
5
Invoiced monthly in advance
Invoiced monthly in advance
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accommodation with some additional support from sheltered housing officers. Specifically, those items covered by HB, not personal care. CCAS
Garden Services
i.
installation, monitoring and response service for alarms in people’s homes with a Response Centre and Mobile Warden staff to respond to alarm calls.
Garden Care Scheme helps to maintain gardens and could include any of the following: • • • • • •
Grass cutting Hedge trimming Border weed control Litter picking Pruning General maintenance
HRA tenants are visited on 11 occasions throughout a 12 month period.
The funding of these three categories of CCAS provision are currently under review.
[TBC]
This service faces a significant risks under Universal Credit – this might require a different approach in the future.
HRA will be invoiced using the appropriate year’s price list for all HRA tenants active in the period.
Invoiced monthly on the last day of the month
For the time being a price list is required. For 15/16 this would be equal to the service charges for HRA tenants.
The price list for subsequent years will be the 15/16 list adjusted for the general management fee increment agreed between NCC and YHN.
• • •
Self payers (rent debit) Hardwired services SP commissions
Ensure Good Neighbour scheme is clearly referenced and treated separately. YPS
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General services for YPS are included in the management fee. Service charges arise from the hostel-based and North Kenton services. Bulk of clients are supported through floating support and homeless prevention
On-going discussions between YHN and WCL on the future delivery model for this service (demolition of North Kenton).
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Hostel-based services should work similarly to sheltered. Relatively small value, so suggest move to an annual fixed price based on number of units
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services which are covered in the main management fee principles schedule.
5
Hostel-based services could work similarly to sheltered.
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Schedule 6 - The process for agreeing the Annual Delivery Plan
Development of the YHN Business Strategy The YHN Business Strategy is reviewed every three years. The Strategy sets out YHN’s purpose and the key objectives for the business. The Business Strategy is supported by an operational Delivery Plan which sets out performance targets, the service review programme and provides a narrative on the legislative, financial and operational context in which YHN operates. The Delivery Plan is reviewed every year. The yearly process considers outcomes from the previous financial year against targets and takes account of the operational context. Consultation on the next year’s Delivery Plan commences after the year-end report, culminating in a review report in October of each year. The outcome of the Delivery Plan review then informs the budgeting, business and financial planning process that takes place in the latter months of the financial year. The Delivery Plan review will include some or all of the following:
• • • •
SWOT and PEST exercises; Assessment of the performance and value for money of YHN’s current services (based on benchmarking performance and cost information); Consultation with Council tenants, Council officers, Council members, YHN Board members, other YHN client landlords; and Identification of targets to assess the success of the business strategy.
The table below sets out the annual process to agree the YHN delivery plan (which includes the annual strategic targets and service plan targets) Month October
November
December
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Task YHN reviews performance information and identified priorities for each service area YHN works with the Council to understand Council priorities for the coming year. Report presented to the Council’s Cabinet outlining emerging priorities for YHN.
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Output Priorities for YHN are identified and collated
Priorities for the Council are identified and collated
The Council’s Cabinet agree to approval route for YHN delivery plan
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January
February
March
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Consultation with Council officers and tenants on proposed strategic targets, local offers and service improvement programme. Draft Delivery Plan considered by YHN Audit Committee. Delivery plan approved by Cabinet and YHN Board
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Targets will be reflective of Council and tenants’ priorities.
Draft Delivery Plan recommended to YHN Board for approval. Delivery plan published
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Board 8 December 2015 Health and Safety Update Report by Director of Property Services
For Discussion 1.
Background information
1.1
In May 2015 Board received an updated health and safety report detailing an overview of YHN’s construction related activities and work undertaken to ensure compliance with relevant legislation.
1.2
This report incorporates the requirements of the Occupational Health and Safety Advisory Service (OHSAS) 18001, YHN’s health and safety quality management system which is administered by the British Standards Institute (BSI) to ensure legislative compliance and drive continual improvement. In line with OHSAS 18001 requirements YHN Health and Safety report to Board bi-annually.
2.
Occupational Health and Safety Advisory Service (OHSAS) 18001
2.1
YHN were audited under OHSAS 18001 in July 2015 where the accreditation was retained. Minor non-conformities arising from this visit:
Step ladders were not shown to be controlled as required by YHN procedures. Remedial action: all step ladders within YHN ladder tagged, training and inspection manuals to be issued to relevant staff. Ladders are currently being audited, and robust monitoring arrangements being implemented. Process for recording contractor competence was not effective. Remedial action: YHN to confirm contractor operatives’ qualifications up to date. The process for providing COSHH assessments was not effective. Remedial action: the cleaning product identified as not having an up to date COSHH assessment now has an up to date assessment.
Observation(s) for improvement were made around the following areas: Housekeeping issues, especially within the Plant room, were noted. Remedial action: ongoing clearance of the Plant room and regular Page 45 of 77
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inspections of YHN House. 2.2
Planned OHSAS 18001 activity:
2.3
External audit scheduled for 8 December 2015
YHN OHSAS 18001 accreditation will expire 12 August 2016. A new ISO standard, ISO 45001, on occupational health and safety management system requirements is being produced, with the intention of publication in October 2016. The standard will be aligned with ISO 9001 (Quality Management) and ISO 14001 (Environmental Management), which are themselves undergoing revision and are due for publication in 2015.
3.
Board’s roles and responsibilities
3.1
The Health and Safety Executive (HSE) published a document titled ‘Leading Health and Safety at Work’. This document details the role of Board in managing health and safety, and the responsibilities of Board members. The document sets out three essential principles:
3.2
Strong and active leadership from the top Worker involvement Assessment and review
In July 2015 the Head of Property Maintenance and the Health and Safety Manager delivered training to YHN Board to make them fully aware of their and YHN’s legislative requirements under health and safety law. At this training Board raised the following key health and safety matters: Matter
Ongoing / remedial actions
Legislation updates to Board
The current Board reporting format includes legislation updates on high risk profile areas e.g. Asbestos. All other relevant health and safety legislation changes will be reported under Legislation Updates.
Health and safety governance structures and qualifications
The health and safety team manager is currently undertaking an audit and review of required health and safety qualifications of staff across YHN to aid in the design of a governance structure. A full report will be provided in the next Board report.
Red / Amber / Green updates
It is proposed to change Board reports to this format from 2016/17.
E-learning refreshers
YHN health and safety are working in conjunction with NCC Organisational Development to procure a new more suitable Learning Management System (LMS), with a built in health and safety compliance element. Page 46 of 77
Matter
Ongoing / remedial actions
YHN health and safety culture
Board members have requested that health and safety is an inclusive item in future appraisals and 121s to promote the opportunity for all staff to challenge health and safety standards and behaviours. In support of this a health and safety suggestion box should be implemented within YHN. The health and safety team are reviewing the practicality and feasibility of this being available electronically.
Board commitment to health and safety
It is acknowledged that YHN Board has a strong commitment to health and safety observed by attendance at Health and Safety Committee, health and safety Board training.
Health and safety policy and legislation review dates
It is proposed to include an appendix document to future Board reports from 2016/17.
Health and Safety team developments
There is one Health and Safety Officer vacancy in the health and safety team to be imminently filled. All staff within the team have completed or are undertaking relevant qualifications and training during 2015/16. A full report on the team will be included in the next Board report detailing qualifications and job roles.
Back to the floor sessions
An open invitation has been extended both at Board training and through Health and Safety Committee for any Board member to undertake a back to the floor session with the health and safety team.
Board training and awareness
The next health and safety Board training is scheduled to be delivered during quarter 4 2015/16 from legal representative. All good health and safety performance will be reported as good news items through team brief. Exceptional performance to be reported to Board.
Celebrate good health and safety performance Peer challenge of information going to Board
YHN are now members of HQN Safety Net, this will give access to benchmarking information across similar organisations and Housing Associations. This will provide information we can audit challenge ourselves against.
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4.
Health and Safety Reporting
4.1
General health and safety monitoring Monitoring of health and safety legislation is an integral part of the health and safety teams function. Areas of higher risk activity are proactively monitored and reported to Board. The following areas will be reported to Board every six months.
4.2
Accidents
Accidents to Employees 2015/16 12 10 Q1
8
Q2 Q3
6
Q4 4 2
4.2.1
Slipped, tripped or fall on same level
Sharps
RTA
Physically assaulted by a person
Manual Handling
Injured by animal
Hit something fixed or stationary
Hit by moving, flying, falling object
Hit by moving vehicle
Fall from height
Contact with moving machinery
Contact with electrical discharge
Another kind of accident
0
Annual accident trends for 2015/16 highlight manual handling as the main area of concern. This follows previous yearly trends where manual handling has proved to be the main cause of accidents within YHN, especially within Furniture Services.
4.2.2
Bespoke manual handling training will be delivered during quarter 3 to management and supervisory staff within the Furniture and Concierge services.
4.2.3
Accidents categorised as RIDDOR (Reporting of injuries, Diseases and Page 48 of 77
Dangerous Occurrences Regulations 2013) include fractures, amputations, loss of sight, crush injuries, burns, scalping, loss of consciousness, closed space injuries and any injuries that result in a loss of seven working days. RIDDORs reported during 2015/16:
Quarter 1 = 1 Quarter 2 = 2
During 2015/16 all three of the above RIDDOR’s were related to Manual Handling injuries and all involved Furniture Service or Garden Care staff. The above information supports the requirements for bespoke manual handling training in the NFS service. 4.2.4
Significant near misses are reportable under RIDDOR. During 2015/16 there have been no near misses in this category. There have been four minor near misses which have been investigated and remedial actions were required for two of these. Accident Trend Analysis
Accidents Analysis 35 30 25
2012/13
20
2013/14
15
2014/15
10
2015/16 (Q1/Q2)
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Sharps
RTA
Physically assaulted by a person
Manual Handling
Injured by animal
Hit something fixed or stationary
Hit by moving, flying, falling object
Hit by moving vehicle
Fall from height
Contact with moving machinery
Contact with electrical discharge
0
Slipped, tripped or fall on same…
5
Another kind of accident
4.2.5
6
2015/16 accident data to date for Q1 and Q2 highlights manual handling and slips/trips/falls as highest reported accidents in line with previous years data. 4.3
Incidents
Incidents to Employees 2015/16 7 6 5 4 3 2
4.3.1
Verbal abuse
Racial Discrimination
PRI request only
Physical Violence
Other (attempted suicide of tenant)
Inappropriate Behaviour (over familiar etc)
Q2 Firearm related
0 Animal related (bitten by or present)
Q1 Aggressive, threatening, intimidating behaviour
1
Q3 Q4
Annual incident trends for 2015/16 highlight aggressive/threatening/ intimidating behaviour and verbal abuse as the main areas of concern. Aggressive / threatening / intimidating behaviour and verbal abuse are areas covered in a new e-learning training module YHN Dealing With Difficult Situations which was implemented during Quarter 1 2015/16. The revised Dealing With Difficult Situations policy was implemented during Q1 2015/16. The Housing and Anti-Social Behaviour Enforcement Team (HASBET) deal with incidents against YHN staff via various methods of recourse e.g. Potential Risk Indicator (PRI) reporting, issuing of anti-social behaviour orders and involvement of relevant third party agencies where required such as Police.
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Incident Trend Analysis
Incident Trend Analysis 35
2012/13
30 25
2013/14
20 2014/15
15 10
2015/16 Q1/Q2
5 Verbal abuse
Racial Discrimination
PRI request only
Physical Violence
Inappropriate Behaviour (over familiar etc)
Firearm related
Animal related (bitten by or present)
0 Aggressive, threatening, intimidating behaviour
4.3.2
The first two quarters of 2015/16 show that if trend continues for the rest of 2015/16 incidents of aggressive / threatening behaviour and verbal abuse will both be less than previous years.
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0
4.4.1 Asbestos Awareness Automated External Defibrilation (AED)‌ Dealing with Difficult Situations Dealing with Difficult Situations debriefing Display Screen Equipment elearning Electrical Appliance Testing (PAT) Electrical Awareness Emergency First Aid at Work (1 day) Evac Chair Fire Safety Awareness Fire Warden First Aid at Work (3 day) First Aid at Work Requalification (2 day) Health and Safety Awareness elearning HHSRS Hoist and Care IOSH (only three recodred on LMS) Ladders and Stepladder Manual Handling Moving and Handling Sharps Awareness
4.4 Health and Safety Training
Health and Safety Training 2015/16
140
120
100
80
60
40
20 Q1
Q2
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Q4
Targeted, risk based and proportional training for staff delivered during 2015/16.
There will be no development of new e-learning packages during 2015/16 due to the process of transferring to a new Learning Management System for 2016/17.
4.5
Fire Risk Assessments
Fire Risk Assessments 2015/16 Q4 Q3 Q2 Q1 0
1
2
3 Low Rise
4
5
6
High Rise
The Health and Safety Manager is responsible for a cyclical programme of fire risk assessments in accordance with the Regulatory Reform (Fire Safety) Order 2005. During quarter 1 and 2 of 2015/16 five high rise fire risk assessments were undertaken. A process is in place to ensure any follow-up actions identified from fire risk assessments are allocated to relevant staff and completed within appropriate timescales. 4.6
Construction Related Health and Safety Monitoring Management and monitoring of construction and premises related risks are proactively monitored and managed by the Health and Safety team. The following higher risk areas of activity will continue to be reported to Board every six months.
4.6.1
Compliance with the Construction, Design and Management Regulations 2015 Construction Design Management (CDM) regulations place duties upon clients and contractors for construction related work involving over 30 working days, more than 20 workers on site working simultaneously, or projects exceeding 500 person days. During 2015/16 YHN had 49 CDM client reportable schemes. All relevant staff in the Property Services Directorate have undertaken CDM 2015 training delivered by Atkins Global. Legislation changes to the CDM regulations 2015 as opposed to CDM regulations 2007.
Removal of the CDM Coordinator role Introduction of new ‘Principal Designer’ role Replacement of ACoP with targeted guidance Reduction in requirements for competence checks Inclusion of Domestic Clients Change in Notification Threshold
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The impact of these changes specific to YHN are:
4.6.2
Technical Services Team now undertaking the work previously undertaken by CDM Coordinators including notification of project to the HSE. The CDM regulations now apply to repairs and maintenance work including voids. YHN to develop contractual documentation and proforma in conjunction with Building and Commercial Enterprise (BCE) to discharge both parties’ duties under the revised regulations.
Contractor Performance Contractors engaged by YHN to carry out construction related activity are monitored to ensure compliance with relevant legislation. West Denton roofing programme – loose asbestos cement was reported to the health and safety team as being present on public highway as a result of ongoing roof replacement scheme. YHN health and safety team visited site and found evidence of low risk asbestos debris on public highway. Works were suspended on site initially and then in conjunction with YHN technical services team new improved methods of working were instigated with the principal contractor and the matter was resolved.
4.7
Compliance with the Control of Asbestos Regulations 2012 YHN are compliant with the Control of Asbestos Regulations 2012 regulations including asbestos monitoring of communal areas. 24 communal asbestos surveys have been carried out during 2015/16 to date. YHN now have in-house trained surveyors to undertake asbestos surveys. This proactive move will enable YHN to proportionately reduce its asbestos expenditure. Note for future consideration – a cross party group of MP’s are proposing a bill which would include the removal of asbestos from all rented domestic dwellings by 2035.
4.8
Water hygiene monitoring and control YHN engages a specialist contractor to undertake water hygiene monitoring on behalf of the organisation. Risk assessments are undertaken as required by the contractor. Follow on actions are actioned by Property Maintenance. YHN has now as a matter of good practice in line with legislation set up a Water System Group chaired by Ian Gallagher, Head of Property Maintenance (YHN responsible person for water hygiene) including nominated representatives from across all areas of YHN.
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5.
Major Incident Reporting
5.1
During 2015/16 Board received individual detailed reports on the following incidents by the Director of Property Services:
Dean House suspected carbon monoxide incident Iris Steadman House, tenant accident during refurbishment works St Ann’s Close scaffold edge protection collapse during high winds Craster Square sink-hole adjacent to garages which is suspected to be a mine air shaft which has collapsed. The Coal Authority have accepted responsibility and are undertaking investigatory works.
6.
Legislation Updates
6.1
Corporate Manslaughter New sentencing guidelines have been published aiming to ensure a consistent, fair and proportionate approach to sentencing organisations or individuals convicted of corporate manslaughter, health and safety and food safety and hygiene offences. The introduction of the guidelines means that in some cases, offenders will receive higher penalties, particularly large organisations committing serious offences – such as when an organisation is convicted of deliberately breaking the law and creating a high risk of death or serious injury. It is not anticipated that there will be higher fines across the board, or that they will be significantly higher in the majority of cases to those currently imposed. The increase in penalties for serious offending has been introduced because in the past, some offenders did not receive fines that properly reflected the crimes they committed. The Council wants fines for these offences to be fair and proportionate to the seriousness of the offence and the means of offenders. The implications of the above would need to be presented by a legal representative at forthcoming Board health and safety training.
7.
External Agencies
7.1
There have been no further cases of cross party intervention with external agencies during Quarter 1 and 2 of 2015/16.
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8.
The Business Implications
8.1
Mission and Strategic Objectives The management of health and safety is an integral part of YHN’s overall management of staff, properties and office accommodation and impacts on all three strategic objectives:
8.2
Make the money deliver
Create homes and neighbourhoods we all can be proud of
Work together to realise a brighter future.
Value for money/efficiencies The health and safety team manage risk proportionately and effectively to reduce the likelihood of accidents or incidents, leading to staff absences or construction related delays.
8.3
Resources (financial, property, technological or human) Current and planned activity is to be contained in existing budgets. Properties and people are protected by this area of work. The proportionate and effective management of health and safety reduces the risk of financial loss through litigation and staff absence.
8.4
Impact on services/performance The health and safety team proactively manages compliance with legislation, staff training and construction related activity. The effective management of health and safety ensures there is no negative impact on the delivery of services or organisational performance.
8.5
Outcomes for tenants/leaseholders The health and safety team engage with staff, residents and contractors to ensure work undertaken poses no risk to tenants, leaseholders or the general public.
8.6
Risk (reputation, relationship) Mitigation against risk is managed through a continued programme of risk assessments and audits. Following risk assessment and audit, proportionate, and relevant risk mitigation measures are implemented, where necessary.
8.7
Environmental There are no direct environmental impacts from this report. Effective management of health and safety, and risk mitigation frequently deliver positive environmental impacts
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8.8
Legal YHN Board will receive six-monthly health and safety reports and undergo relevant health and safety training to ensure compliance with health and safety legislation. The Health and Safety Committee is a legal requirement under the Safety Representatives and Safety Committees Regulations 1977 and the Health and Safety (Consultation With Employees) Regulations 1996. The attendance of a Board member at Committee level to input their opinion and recommendations into the formulation of new policies and resolving any outstanding health and safety issues not resolved at forum level and would be beneficial to YHN’s governance of its health and safety policy and OHSAS 18001 compliance. The Health and Safety Forum is not a legal requirement but good practice and is used as a forum for staff to voice health and safety concerns. Board members are not required to attend meetings at this level.
8.9
Equality and Diversity and Community Cohesion There are no direct impacts on equality, diversity or community cohesion from this report. The Health and Safety Policy was reviewed during 2015/16 and was subject only to some amendments on the wording around CDM regulations. The existing equality analysis remains unchanged therefore are no negative impacts identified on the protected characteristic groups under the Equality Act 2010.
8.10
Stakeholder Involvement / Consultation It is recognised that it is essential to have continued staff engagement to embed a health and safety culture throughout the organisation. Stakeholder consultation is undertaken through the health and safety forum, engagement with trade unions is undertaken through regular Joint Consultative Committee (JCC) meetings and bi-annual Health and Safety Committee meetings.
9.
Conclusion and Recommendations
9.1
Board are recommended to: 
Receive and comment on this health and safety report
10.
Implementation
10.1
Board will receive six-monthly health and safety monitoring reports plus interactive sessions on higher risk areas of business.
Background Papers: Last update
Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Paul Lumsden by telephone on 0191 278 8609 or email paul.lumsden@yhn.org.uk Page 57 of 77
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Board 3 November 2015 (5.00pm to 7.35pm) Present: O Grant (Chair), P Dibbs, P Dutton, L Doherty, V Dunn, D Huddart, J Purvis, J McCarty, A Mirza, T Moore, M Page, J Reid, P Scope, , L Stephenson, D Slesenger, E Snaith, M Talbot, L Wilson. In attendance: J Davison
Company Secretary
N Scott
Senior Director & Director of Tenancy Services
S Breslin
Assistant Chief Executive & Director of Corporate Services
D Langhorne
Director of Property Services
L Forrest
Head of Finance
D Creighton
Executive Assistant to the Chief Executive
J Urwin
Head of Housing Options
J Clifford
Financial Controller
J Wylie
Head of Business Services
D Lavery
Service Delivery Manager
I Gallagher
Head of Property Maintenance
B Elder
Strategic HR Manager
G Ellingham
Head of IT
A Allison
Head of Income & Tenancy Management
H Garbutt
Environmental Services Manager
M Burn
Head of Support & Care
D Gallagher
Income Management
L Straker
Business Strategy
R Burns
Business Strategy
C McMullen
Newcastle City Council
A Senior
Newcastle City Council (until 6.05)
419
WELCOME The Chair welcomed Amanda Senior and Tony Kirkham from Newcastle City Council.
420
APOLOGIES Apologies were received from J Streather.
421
DECLARATIONS OF INTERESTS V Dunn declared an interest in agenda item 4. O Grant declared an interest in employability as Chair of Newcastle Futures Page 59 of 77
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422
QUARTER 2 PERFORMANCE AND FINANCIALS Submitted: Report by the Senior Director (previously circulated, copy attached to Official Minutes). Neil Scott presented the report and advised the Board some members had contacted officers in advance of the meeting with useful feedback and this will be built into the presentation of the data in future reports. The financial performance of YHN is expected to generate a surplus in this financial year, and efficiencies of over £900k have been identified and removed from operational budgets. The non-financial performance was presented in appendix one, with graphs displaying the targets which are red and amber. Of the 20 targets, four are red, one amber and three blue, which means there is no data available. Section 4 of the report set out more detailed information on the red targets. Neil Scott also highlighted where the organisation was doing well, with 98.7% rent collected, the organisation was on track to hit target of 99.49%. Questions/Comments A Board member commented it was useful to concentrate on red targets but we must also acknowledge the green and congratulate the staff. With regard to the Walker multis was there an opportunity to look at how else we could utilise these properties for example, homeless people. Neil Scott responded that the organisation does look at the overall number of units and has re-classified St Anthony’s House but it hasn’t generated more demand. We will look at potential change of use for different client groups e.g. Newcastle College, and have used differently in the past successfully, with Changing Lives and for Afghan interpreters. A Board member commented that the dashboard and report were helpful additions, and it would be good to see the wider context and direction of travel. Could we see a benchmark to our own performance at this point last year. A Board member questioned when target setting, how do we use the performance information, as it seems to be irrespective of the performance last year, we have missed the sickness target for four years running. Neil Scott responded that we do take performance into account when setting targets and in relation to sickness we have reduced the target this year as not achieved last year. A Board member expressed concern at section 4.2 of the report with regard to re-let times of void properties as this had been a problem area for some time, appreciate this is considered in the next report, but we must ensure we do everything we can to address this issue. Neil Scott responded that the next report brought together in one place, research and a set of actions to assure Board, and learn from good practice. There are significant challenges and we need to work collaboratively, but there is a major issue with property some types. A Board member commented that they liked the presentation of the targets but that appendix two was not clear whether the result was cumulative or just in the quarter, for example 229 tenants engaged with is reported as green in quarter two but this does not look on target for 700 for the year. A Board member commented that the performance report took into account Page 60 of 77
work scheduled for the rest of the year when allocating a red, amber or green status, and that there was further detail behind the one page summary. This had previously been reported to Audit Committee but would now just come direct to Board. Neil Scott responded to say he will take on board the comments and where the target is reported green an explanation will be provided if needed. A Board member commented on the lifecycle improvements which reported 1447 completed by quarter two and questioned of there was to be a spurt in the final half of the year to achieve 4061. David Langhorne responded that there was a large scale bathroom replacement due in quarters three and four and we were expected to over achieve the target for the year, it was the lead in times for procurement which skewed the figures. RESOLVED that the Board; 423
Received the report
ANNUAL LETTINGS REVIEW Submitted: Report by the Senior Director (previously circulated, copy attached to Official Minutes). Neil Scott presented the report which outlined the findings of the review with regard to supply of social housing, stock turnover and demand, housing need (which showed the most houses are allocated to those with low housing need in band D), applications are being started on-line but not completed, and that number of allocations are static. Section 4 of the report outlined the key areas of work and the action plan which had been developed and would be monitored by Service and Strategy Delivery Committee chaired by Paul Dutton. There was also a recommendation to convene a time limited committee also chaired by Paul Dutton. Questions/Comments The Chair commented that at the CIH conference the discussions were all around getting to know your customers and housing needs in your areas. We need to think ahead and look at the profile and needs so this work is very useful. A Board member commented that the report was very interesting, and questioned section 3.2 where the majority reason for terminating tenancies are transfers to other social housing (35%), and questioned if this was outside of YHN. Neil Scott responded that this is tenants leaving to go to other providers and would provide the detail to be included in the minutes. Additional information provided after the meeting Breakdown of the 35% figure, this figure includes terminations in relation to: Tenants rehoused to another Housing Association (127 tenancies) Tenants who moved to another Local Authority Area (78) Internal Transfers (867) Internal Transfers due to Welfare Reform (30) The percentage was calculated on the basis of all terminations excluding those where the reason was assignment or mutual exchange. Page 61 of 77
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A Board member commented that the issues were really important in relation to the time limited committee, to look at the changing demographics and understanding tenant groups to enable a long term strategy or needs over next 12-24 months. Neil Scott responded that this work does feed into the Asset Management Strategy to provide the context. A Board member suggested we look at comparisons with other similar sized cities not just partners as different areas of Tyne and Wear have different needs. Board members volunteering to sit on the Time Limited Committee; Paul Dutton, Lynn Stephenson, Marion Talbot, Tony Moore, Loraine Wilson and Julie Purvis. RESOLVED that the Board; Received the report 424
APPOINTMENT OF ASFALEIA BOARD MEMBERS Submitted: Report by the Chair (previously circulated, copy attached to Official Minutes). The Chair introduced the report which outlined the recruitment process for the four independent Board members of Asfaleia Limited. The Chair notified the Board that she had asked Nitin Shukla to Chair Asfaleia Limited, as he has a great understanding and knowledge of YHN customers and will be an asset in this first year setting up the new structure. The other independent Board members were chosen from different backgrounds and the Chair met with three tenants who were interested. The report recommended the appointment of four independent board members. A Board member questioned how the tenant Board members had been selected. The Chair explained that the Customer Involvement Team who works with involved customers had made enquiries with tenants who would be interested in increasing their involvement to Board member level. RESOLVED that the Board appointed to Asfaleia Limited; Nitin Shukla Gordon Burns Alison Washborne Rachel Tshibuyi
425
MINUTES OF 22 SEPTEMBER 2015 A Board member questioned if the loan agreement had been signed. Neil Scott responded that the stock valuations had been completed, the business transfers agreements and loan agreement all signed. It was noted that the minutes had recorded that the final loan documentation would be circulated via email to all Board members. Neil Scott apologised for this omission and confirmed that the terms of the loan had not changed from the Heads of Terms, and would circulate the final document. Page 62 of 77
RESOLVED that the Board; Considered the minutes of the meeting held on 22 SEPTEMBER 2015 and approved them as a correct record. 426
ITEMS FOR INFORMATION
427
SENIOR DIRECTORS REPORT Neil Scott briefly outlined the report which included information for Board members attention regarding the Housing and Planning Bill. This Bill has significant issues for the Housing Revenue Account and YHN but we are still waiting for the detail to emerge. It was proposed to hold a briefing session for Board members on this topic. Board members indicated their preference would be to have this on the same day as a Board meeting. Arrangements to be made to hold this when the detail of the bill is known.
428
RESOLVED – That the following items be received for information: 8ii) Universal Credit Update 8iii) Delegated Decisions 8iv) Petition
7
8v) Board Forward Plan 8vi) Committee Minutes - Finance & Resources Committee 25 June - Customer & Service Delivery Committee 14 July - Commercial Committee 21 July 429
EXCLUSION OF PRESS AND PUBLIC RESOLVED – That in accordance with the organisation’s Access to Information provisions, the press and public were excluded from the meeting during the consideration of all further agenda items.
……………………………………….. Mrs O Grant Chairman 8 December 2015
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Board 8 December 2015 Safeguarding Adults and Children annual update Report by Senior Director
For Information 1.
Purpose of the report
1.1
To provide the annual update to Board in relation to safeguarding alerts and safeguarding training across YHN.
2.
Background Information
2.1
We recognise that abuse can have major long term effects on all aspects of a child or adult’s health, development and well being, and in the worst cases, lead to death. We understand that everyone has a right to live their life safely and free from violence and abuse. As a housing provider we have a statutory duty to support this right.
2.2
Our approach to safeguarding is based upon the requirements outlined within statutory guidance;
Working Together to Safeguard Children 2010
No Secrets guidance on developing and implementing multi agency policies and procedures to protect vulnerable adults from abuse 2000
Care Act 2014
2.3
We also have a moral duty, the protection of children and vulnerable adults is given high precedence across the organisation. Staff and managers are dedicated to doing the right thing and making referrals when required.
2.4
Safeguarding activity across the city is coordinated by Newcastle Safeguarding Adults Board and Newcastle Safeguarding Children Board. We are represented on the Safeguarding Adults Board and sub committees and the Safeguarding Children’s sub committees at a senior level and, our policies and procedures are aligned with the policy and procedure of both boards.
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2.5
Due to the nature of our work we carry out we are in a key position to recognise a child or adult in need or suffering abuse. Our front line staff visit tenants in their homes, regularly visit estates and are involved in implementing the Sustaining Tenancies Guidance. Additionally many of our services provide support and care specifically to customers at a greater risk of vulnerability, such as older people, young people and disabled people. This provides us with an insight into people’s lives that is not accessible to other agencies and it is essential that we use this to safeguard and promote welfare of children and vulnerable adults in our day to day work.
2.6
Our safeguarding policies and procedures are based on the four R’s approach;
Recognise
Respond
Refer
Record
2.7
As part of our approach to safeguarding we request that criminal records checks are carried out for all key posts prior to employing to the post. We do this through the Disclosure and Barring Service.
2.8
As part of our communication and consultation approach we have developed a Safeguarding and Domestic Abuse Forum which meets bi monthly and is attended by managers from all the front line services within YHN. The Forum is chaired by YHN’s safeguarding lead officer and considers good practice, changes to policy and procedures and monitors the safeguarding referrals and safeguarding training performance.
2.9
We have also developed a safeguarding and domestic abuse intranet site for staff to use which holds all the necessary documents, policies and procedures, it is regularly updated with topical news in relation to safeguarding and domestic abuse.
2.10
Board members have a responsibility to ensure that the organisation has the appropriate policies and procedures in place in relation to safeguarding and that staff are suitably trained and equipped to undertake the multi agency work necessary to safeguard vulnerable adults and children. All YHN staff undertake mandatory safeguarding training appropriate for their role. Board members also have a responsibility to undertake the necessary safeguarding training that is appropriate for their role.
2.11
On an annual basis the Newcastle Safeguarding Adults Board arrange a special meeting where each partner organisation of the Board present their self assessment of their approach to safeguarding. The event allows organisations to share learning, promote strengths and address areas for improvement. Page 65 of 77
At the annual meeting in November 2015 YHN reported on three areas of good practice and three areas for development as follows; Good practice;
YHN has an internal Safeguarding and Domestic Abuse Forum chaired by the YHN safeguarding lead officer
YHN has policy and practices in place that are supported by the Newcastle Safeguarding Adults Team
Mandatory safeguarding training for all staff
Areas for development; Mental Capacity Act training for referring managers to improve confidence and knowledge in this important area Improve safeguarding information available on the YHN website for the general public Risk Threshold Tool – improve staff understanding and use of the tool 2.12
Annual reports are presented to Board for information.
3.
Monitoring Safeguarding Referrals
3.1
3.2
The Safeguarding and Domestic Abuse Forum has developed an electronic and secure safeguarding referral system. It was introduced in April 2015 but backdated information to July 2014 has recently been input into the system. The system facilitates the Referring Manager to; make a safeguarding alert via the appropriate safeguarding form record referrals on a summary log sheet for monitoring retain all information relating to the referral in a secure place record acceptances of referrals from Safeguarding Adults and Safeguarding Children The information provided by the system allows a comparison between teams, offices and areas in relation to safeguarding referrals and activity across the business. Board should note that;
3.3
the recording system went live for new cases from April 2015 and that the data prior to that has been entered by staff retrospectively putting cases on the system
all safeguarding alerts that are referred are recorded as a YHN referral, however YHN staff are involved in many more cases from the multi agency perspective, providing information and working with tenants and customers who are subject to safeguarding and/or social care involvement
Safeguarding Adults referrals from July 2014 to March 2015. A total of 71 referrals were made across YHN, the majority from the East End housing hub, Care Services and the Housing and Anti Social Page 66 of 77
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Behaviour Team, (Hasbet). The Care Services team is responsible for older people’s services and the management of the Learning Disability developments in Walker and Shieldfield. There are 6 business areas that have made the 71 safeguarding referrals from the 22 areas of the business represented on the Safeguarding and Domestic Abuse Forum. Some of these areas would not be expected to make many referrals but others would be expected to be similar in number to other front line services. 3.4
Safeguarding Adults referrals from April 2015 to September 2015. A total of 106 referrals were made across YHN, the majority from the East End housing hub, Care Services, Hasbet and the Walker Hub. There are 14 business areas that have made the 106 safeguarding referrals from the 22 areas of the business.
3.5
Safeguarding Childrens referrals from July 2014 to March 2015. A total of 37 referrals were made across YHN, the majority from the Outer West housing hub. There are 6 business areas that have made the 37 safeguarding referrals from the 22 areas of business.
3.6
Safeguarding Childrens referrals from April 2015 to September 2015. A total of 44 referrals were made across YHN, the majority from the Outer West housing hub. There are 10 business areas that have made the 44 safeguarding referrals from the 22 areas of business.
3.7
Work is underway to investigate reasons for variable numbers of referrals across the hubs and teams.
4.
Monitoring Safeguarding Training
4.1
Following a safeguarding training audit by NCC in 2014/15 we have changed the process in relation to managing the safeguarding training of staff and measuring its impact and effectiveness. A subsequent audit in September 2015 by NCC confirmed that the necessary changes have been made and have been effective.
4.2
The monitoring of safeguarding training remains a manual process with a master spreadsheet listing every member of staff, what training they have done and when. The spreadsheet can be viewed on the intranet site by staff and managers but can only be amended centrally by NCC’s OD nominated officer. The spreadsheet shows for each member of staff the level of training completed and when, and, lists the renewal date for the training. Because the system is a manual process inputting details into a master spreadsheet, it is subject to human error. This will be rectified when NCC Page 67 of 77
replaces their electronic Learning Management System in 2016/17. 4.3
Safeguarding Adults training is mandatory and staff are required to repeat/refresh every three years, the training undertaken is commensurate to the individual job role. There are three levels;
Level One – in house half day training for all staff that may have to make a safeguarding alert to their line manager/supervisor
Level Two – multi agency one day training for all staff who may have to make a safeguarding referral or who through the nature of their work require a deeper level of understanding
Level Three – aimed at senior managers involved in risk assessments, protection planning and/or safeguarding to a strategic level
An e learning training package for all staff to undertake is being developed. 4.4
Safeguarding Adults training undertaken during 2015/16. There are 391 staff eligible to take the Level One course of which 284 have completed the course to date or are booked to attend during this year. There are 106 staff eligible to take the Level Two course of which 7 have completed the course to date or are booked to attend the course during this year. There are limited places available on this level during the year. There are 20 staff eligible to take the Level Three course of which 9 have completed the course to date or are booked to attend the course during this year. There are limited places available on this level during the year.
4.5
4.6
Safeguarding Childrens training is mandatory and staff are required to repeat/refresh every three years, the training undertaken is commensurate to the individual job role. There are four levels;
Level One – e learning for all staff
Level Two – in house half day training for all staff that may have to make a safeguarding alert to their line manager/supervisor
Level Three – multi agency one day training for all staff who may have to make a safeguarding referral or who through the nature of their work require a deeper level of understanding
Level : Strategic/Operational – aimed at senior managers involved in risk assessments, protection planning and/or safeguarding to a strategic level
Safeguarding Childrens training undertaken during 2015/16. There are 212 staff eligible to take the Level One course of which 184 have completed the course to date or have registered on the e learning module but not yet completed. There are 301 staff eligible to take the Level Two course of which 251 Page 68 of 77
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have completed the course to date or are booked to attend the course during the year. There are 130 staff eligible to take the Level Three course of which 2 have completed the course during this period. There are limited places available on this level during the year. 4.7
Safeguarding training is mandatory for all staff and must be renewed on a three yearly cycle by doing a repeat or refresher training, and it is up to each manager and each member of staff to make sure they have had the appropriate training. NCC’s Organisational Development Team maintains the training records and publicises the training events and contacts staff and their managers in relation to the events. The training analysis will be shared with senior management teams.
4.8
Safeguarding training has been provided for Board members although the level of training required will vary depending on role, for example Council nominated Board members receive safeguarding training in their role as elected members. Training for Board members was carried out during 2015 and there are further sessions planned for early 2016 following the recruitment of Board members for Asfaleia.
5.
The Business Implications
5.1
Purpose, Vision and Service Objectives: The Safeguarding policies, procedures and activities we have in place contribute towards the purpose, vision and the proposed specific service objective of supporting vulnerable tenants to enjoy independence.
5.2
Value for money/efficiencies: Safeguarding policy and procedure are built into existing job roles so no additional resources are required to make referrals, collect and report on data, change policy and procedures, etc. We access free resources in relation to safeguarding training.
5.3
Resources (financial, property, technological or human): We have trained key staff to act as trainers for safeguarding adults and safeguarding children training within YHN. NCC provides the safeguarding training information in relation individual staff training undertaken. All done within the Service Level Agreement between YHN and NCC.
5.4
Impact on services/performance: Monitoring of the safeguarding performance in relation to referrals made and training undertaken will inform what changes we need to make in policy and procedure.
5.5
Outcomes for tenants/leaseholders: safeguarding policy and procedure will help us to protect children and vulnerable adults from abuse.
5.6
Risk (reputation, relationship): demonstrating that we have delivered on our safeguarding responsibilities is essential in preventing our reputation being damaged through criticism of systematic failings or legal Page 69 of 77
proceedings in the event of a serious case or domestic homicide review. 5.7
Environmental: There are no direct impact environmental impacts.
5.8
Legal:we have a statutory duty to cooperate to safeguard adults and children.
5.9
Equality and Diversity: recognising children in need and vulnerable adults within our customer base is essential. The current Northgate system has the facility to identify individual households/individuals as vulnerable, front line staff regularly identify households/ individuals and flag on the system.
5.10
Stakeholder Involvement/consultation: lSafeguarding Children:if we make a referral on behalf of a vulnerable child or if a Common Assessment Framework is completed then the consent of the child and their parent/guardian will always be sought. If the child is siuffering significant harm or risk of suffering significant harm then consent is not always sought. Safeguarding Adults:if we make a referral on behalf of a vulnerable adult we will always seek consent unless they are unable to give consent, their consent is invalid or their consent is over ridden by our duty to protect them.
6.
Conclusion and recommendations
6.1 As the safeguarding monitoring system becomes more established in our day to day activity we will be able to identify areas of the service within YHN that are not recognising, responding, referring and recording safeguarding issues. At this early stage we can see that some areas are recording more referrals than others and can question why that is and take action. 6.2 The safeguarding training recording system is a manual process which uses an excel spreadsheet to manage the process. This is prone to error and will not be rectified until NCC implement the replacement LMS system. 6.3 Board are recommended to; 
Receive this report and make any relevant comments

Note that the monitoring system will help identify where areas of the business may not be following policy and procedure and allow management to take the necessary action

Note that the training recording system will not be improved until the replacement LMS system is introduced
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7.
Implementation
7.1 The next steps are; 
Disseminate information to senior management teams in relation to safeguarding referrals and training

Build on the good practice identified in the Safeguarding Adults self assessment and address the areas for development
Background Papers: Contact Officer If you have any questions about this report that you would like clarifying before the meeting, you can contact Martyn Burn (Head of Support and Care) by telephone on 0191 278 8599 or email martyn.burn@yhn.org.uk.
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Page 72 of 77 669
87
Funding of £3,476,830 from Investment Programme Lifecycle Funding of £424,000 from Investment Programme Lifecycle
INT 0006 Internal programme
David Langhorne Property Services
David Langhorne Property Services
4
5
5
3
Funding of £4,000 from Investment Programme – Non Housing Assets
Linbridge Drive Garage Demolition RF0014 Pitched Roof & RF0015 Flat Roof Replacement Programmes NEP
David Langhorne Property Services
22
Funding of £8,100 from the Investment Programme – Participatory Budget
David Langhorne Property Services
Up to 26,500
4 year contract at £22,000 p.a. funded from ICT Services budget
2
Units
Cost/ Budget provision
1
Tyne and Wear Homes 4 Year Contract Participatory Budget Scheme 12 Coquet Avenue, Parking improvements
Scheme
Neil Scott Tenancy Services
No. Delegated Officer
Directorate/
Building and Commercial Enterprise
Hodgson Sayers Ltd
Owen Pugh
Highways and Localised Services
Abritas
Contractor
Citywide
Citywide
Denton
Parklands
Citywide
Wards
Hutchinson, Mark (YHN)
Parker, Patrick (YHN) Cairns, Andrew (YHN)
Cairns, Andrew (YHN)
Urwin, John (YHN)
Officer
Delegated Decisions – Schedule of non-confidential Delegated Decisions taken between 16th October 2015 and 16th November 2015
8th December 2015
8ii
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David Langhorne Property Services
11
Wyndley House window replacement
16
116
Funding of £551,092 from Investment Programme Lifecycle
10,000
Up to 26,500
Up to 26,500
Funding of £12,000 from Participatory Budget
Funding of £12,000 from Property Maintenance
Funding of £42,000 from ICT Services Budget
Funding of £15,000 from ICT Services Budget
2,594
Straightline Construction Limited
Highways and Localised Services
Group Horizon Energy Ltd
Housing Contact
Kirklees Council
Straightline Construction Limited
Kenton
Castle
Citywide
Citywide
Citywide
Citywide
Parker, Patrick (YHN)
Cairns, Andrew (YHN)
Jarman, Tom (YHN)
Grainger, Maureen (YHN)
Dunne, Joanna (YHN)
All projects were approved as part of the Investment Delivery Programme contained within a report entitled ’30 Year HRA Financial Model and Other Financial Issues’ which was considered by the Board on 11 December 2012.
David Langhorne Property Services
10
8
9
Call2Collect
Neil Scott Tenancy Services
7
Energy Efficiency Advice - Resourcing and Training Participatory Budget Scheme no.27, Brunswick Grove Parking
DigiTV
Sheila Breslin – Corporate Services
David Langhorne Property Services
Door Replacement Programme NEP
David Langhorne Property Services
6
Funding of £2,015,362 from Investment Programme Lifecycle
Harrison, Kevin (YHN)
Board 8 December 2015 Board Forward Plan 1
Board Forward Plan
1.1
This Board Forward Plan lists the reports known at the present time that will be presented at the Board meeting on 2 February 2016 (or amended date subject to confirmation): Board Reports Quarter 3 Finance and Performance Report Update
Non-confidential
Budget 2016/17
Non-confidential
Business Strategy
Non-confidential
Digital by Choice
Non-confidential
Financial Regulations
Non-confidential
Universal Credit Update
For Information
Management Structure
Confidential
8iii
Contact Officer: If you have any questions about this report that you would like clarifying before the meeting, you can contact Jill Davison, Company Secretary by telephone on 0191 278 8624 or email jill.davison@yhn.org.uk
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8iv Audit Committee 20 August 2015 (5.00 pm - 6.50 pm) Present: P Scope L Doherty J Reid
(In the Chair)
IN ATTENDANCE S Breslin L Horsefield D Langhorne R Burns M Burn I Pattison C McMullen J Miller 52
Director of Corporate Services and Assistant Chief Executive Head of Business Strategy Director of Property Services Lead Service Quality Officer Head of Support and Care Internal Audit Fairer Housing Unit Democratic Services
APOLOGIES FOR ABSENCE Apologies for absence were received from G Clark, D Down, A Mirza, N Shukla and L Stephenson
53
DECLARATIONS OF INTEREST IN ANY MATTER TO BE DISCUSSED AT THE MEETING None
54
MINUTES OF MEETING HELD ON 9 JULY 2015 The minutes of the meeting held on 9 July 2015 were approved as a correct record subject to the amendment of L Mirza to A Mirza and were signed by the Chair.
55
ACTION LIST REVIEW Fire inspections – D Langhorne reported that the new workforce scheduling system was now in place, this had rationalised how the concierge service worked. He confirmed that all the blocks had now had fire safety checks AND also confirmed that the fire risk assessments were up to date.
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Community Care Alarm System - M Burn provided the committee with a detailed update on the outstanding actions from the CCAS audit and in relation to the Jontek reprocurement and the reasoning for this course of action. He circulated an update note at the meeting (copy attached to Official Minutes). Members noted that it would be possible to reprocure with Jontek for up to two years with a review after one year. It was noted that the review of the CCAS would be completed by the end of the calendar year. I Pattison advised that Internal Audit were satisfied that the manual process was now fit for purpose and that systems were now in place to prevent the discrepancies that had arisen in the past. Members asked that regular updates be provided on the Community Care Alarm Service procurement. RESOLVED – that the action list be noted and updated accordingly. 56
QUARTER ONE PERFORMANCE 2015-16 Submitted: Report by Head of Business Strategy (previously circulated and copy attached to Official Minutes) L Horsefield introduced the report which provided performance monitoring information for the first quarter in the 2015 -16 financial year (April – June 2015). She drew members’ attention to and outlined the issues/concerns relating to the 2 red indicators as detailed in section 3 of the report. It was noted that the review of the end to end void process had been finalised, improvements should start to be seen in the process. In terms of the timescales for seeing tangible improvements in the voids process, M Burns explained that some of the changes would be seen straight away, others would not be visible until quarter 2 and quarter 3. There were to be changes to the Housing Options service which result in an improvement in the time between getting a property back and identifying a tenant. RESOLVED- that the report be received.
57
STRATEGIC RISK REGISTER 2015-16 Submitted: Report by Head of Business Strategy (previously circulated and copy attached to Official Minutes) R Burns introduced the report which provided the quarterly update against the 2015 – 16 Strategic Risk Register. He advised that no changes were needed to the register at this point but the issues on the register were closely monitored.
The following issues/queries/ comments were made in debate:
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It was noted that a report by the Head of Finance would be submitted to Board the following week on the outcome of stress testing the impact on YHN of various potential scenarios. In response to a member’s query officers advised that currently no detail had emerged on the issues announced in the Queen’s Speech which related to YHN. It was hoped there may be more of an indication of the detail of these issues by November. In response to a members’ query as to whether if there was a reduction in the management fee there would be a resultant reduction in the service that would be expected from YHN, S Breslin explained that whilst this had not been articulated as such, there were clauses in the Management Agreement that there was a broad principle that Newcastle City Council would provide YHN with the wherewithal to do the things being asked of it by NCC.
RESOLVED – that the report be received. 58
INTERNAL AUDIT PROGRESS UPDATE 2015-16 Submitted: Report by Head of Internal Audit (previously circulated and copy attached to Official Minutes) I Pattison introduced the report which showed Internal Audit activity since the last Audit Committee in July 2015. He drew members’ attention to the 2 potential areas where resources allocate for emerging risks may be allocated i.e. HCA Governance and Financial Viability Code of Practice and fraud training. He outlined the changes to the audit report definitions detailed in appendix 2 to the report. Members welcomed the new definitions which they felt better reflected levels of assurance. RESOLVED – that:i. ii.
59
Progress against the Internal Audit plans for 2015/16 be noted. Progress on the implementation of audit recommendations be noted.
BUSINESS STRATEGY REVIEW EVALUATION L Horsefield gave a presentation on the Business Strategy Service Review Evaluation (copy of presentation material attached to Official Minutes). The review of the service was intended to ensure that the service was fit for purpose and was structured in the most effective way to deliver the service. RESOLVED – that the presentation be noted.
60
DATE AND TIME OF NEXT MEETING Thursday 19 November 2015 5pm.
61
EXCLUSION OF PRESS AND PUBLIC To exclude the press and public during discussion of agenda item 14 because of a likely disclosure of confidential information. The definitions of what is considered confidential are contained within Section 16 of the Company’s Standing Orders.
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8iv