Agendas, reports and minutes

Minutes of Meeting of the Highland Council held in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Thursday, 8 March 2018 at 10.35am.

1.  Calling of the Roll and Apologies for Absence
A’ Gairm a’ Chlàir agus Leisgeulan

Present:
Mr G Adam, Mr B Allan, Mr R Balfour, Mrs J Barclay, Mr A Baxter, Mr B Boyd, Mr R Bremner, Mr I Brown, Mr J Bruce, Mrs C Caddick, Miss J Campbell, Mrs I Campbell, Mrs G Campbell-Sinclair, Mrs H Carmichael, Mr A Christie, Dr I Cockburn, Mrs M Cockburn, Mr G Cruickshank, Ms K Currie, Mrs M Davidson, Mr J Finlayson, Mr M Finlayson, Mr L Fraser, Mr R Gale, Mr J Gordon, Mr K Gowans, Mr A Graham, Mr J Gray, Mr T Heggie, Mr A Henderson, Mr A Jarvie, Ms E Knox, Mr R Laird, Mr B Lobban, Mr D Louden, Mrs L MacDonald, Mr R MacDonald, Mrs D Mackay, Mr D Mackay, Mr W MacKay (V/C), Mr G MacKenzie, Mrs I MacKenzie, Mr S Mackie, Ms A MacLean, Mr C MacLeod, Mr D MacLeod, Mr D Macpherson, Mr R MacWilliam, Mrs B McAllister, Mr J McGillivray (V/C), Mr H Morrison, Ms L Munro, Ms P Munro, Mrs M Paterson, Mr I Ramon, Mr M Reiss, Mr A Rhind, Mrs F Robertson, Mrs T Robertson, Mr K Rosie, Mr G Ross, Mr P Saggers, Mr A Sinclair , Ms N Sinclair (V/C), Mr C Smith, Ms M Smith, Mrs K Stephen, Mr B Thompson (V/C)

In Attendance:    
Chief Executive
Director of Development & Infrastructure
Director of Care & Learning    
Depute Chief Executive/Director of Corporate Resources 
Director of Community Services

Mr B Lobban in the Chair

Apologies for absence were intimated on behalf of Mr C Fraser, Ms P Hadley, Mr A MacKinnon, Mr N McLean and Mrs C Wilson.  

2. Declarations of Interest
Foillseachaidhean Com-pàirt

The Council NOTED the following declarations of interest:-

Item 10(i) – Mr S Mackie (Non-financial)
Item 15 – Mr A Christie (Financial) and Mrs D MacKay (Dispensation) 
Item 16 – Mr A Christie (Financial), Mrs D MacKay (Dispensation) and Mr R Balfour and Mrs M Cockburn (both Non-financial) 
Item 17 – Mr D Macpherson, Mr D Louden and Mr G Adam (all Non-financial)  

Prior to commencement of the formal business, warm tributes were paid to the late Provost Allan Sellar and also to the late Councillor Angus Gordon who had provided long and valued service in relation to Council duties and would be much missed by everyone who had known them. 

In this regard, the condolences of the Council were conveyed to their families and friends.

The Council also recognised and acknowledged International Women’s Day.  

3. Presentation – Highlands and Islands Enterprise (HIE)
Taisbeanadh – Iomairt na Gàidhealtachd’s nan Eilean

It was NOTED that Professor Lorne Crerar, Chair of Highlands & Islands Enterprise, and Ms Charlotte Wright, Chief Executive, were in attendance at the meeting in order to undertake a presentation on HIE’s priorities and projects in the Highland Council area.

In this regard, and during the presentation, the aims of HIE and its collaborative relationship with the Council were highlighted, along with current priorities and future plans and challenges. 
Reference was also made to the recent enterprise and skills review by the Scottish Government and the Council was thanked for its vocal support during the review process. Examples were also provided of collaborative efforts between HIE and the Council and references made to the greater impacts which could be achieved through collaborative and strategic working.

It was noted that HIE was sub-divided into teams, three of which were in the Highland Council area, and in this respect an overview was provided of HIE’s remit, budgets, employees, client accounts, growth sectors, property and infrastructure, the role of the recently formed Strategic Board and national aspirations. 
Attention was also drawn to the four priorities of accelerating business growth, strengthening communities, supporting growth sectors and developing regional attractiveness. 

In summary, it was confirmed that specific issues currently being tackled in the Highlands at present included broadband, city-region deal developments, Liberty British Aluminium in Lochaber and Talent Attraction and Skills Retention.

During discussion, Members raised the following issues:-

• there was a need to convey thanks to HIE in relation to the previous work undertaken on additional living costs and poverty in rural areas;
• further details of information on negotiations which had been undertaken with the UK Government on plans to replace the various European funding sources after Brexit would be helpful, particularly as it was estimated that 40% of Highland businesses relied on European Union workforce. In this respect, it was noted that this had been discussed with the UK Government’s Scottish Secretary and with the Scottish Government’s Minister for UK Negotiations on Scotland's Place in Europe, as well as with business representatives, particularly from the tourism and food & drink industries;
• information was sought and provided on the role of HIE in community empowerment, particularly in relation to involving young people, such as through supporting graduate placement schemes;
• there was an expectation that there would be increased involvement and closer partnership working between the Council and HIE in future, particularly at a local level. In this respect, specific reference was made to the digital agenda/wider superfast broadband coverage in rural areas prior to the 2021 target date and talent retention/workforce planning;
• information was sought and received on HIE’s involvement in Scotland’s Growth Strategy, with specific reference to inclusivity of rural areas;
• it was noted that discussions were ongoing in relation to future work at Nigg and Kishorn;
• there was concern in relation to SEPA issues at Gairloch and it was noted that this would be followed up outwith the meeting;
• it was hoped that further work could be undertaken to promote the North Coast 500 route, including improved signage;
• there was also concern regarding the economic impact of the downgrading of any health services in rural areas and it was noted that this would be among the issues considered at a forthcoming meeting between HIE and NHS Highland and would be the basis of a significant wider community planning issue; and
• it was highlighted that communication was critical between HIE and the Council’s Business Gateway service in future.

Decision

Having thanked Professor Crerar and Ms Wright for their attendance at the meeting, the Council otherwise NOTED the terms of the presentation as detailed.

4. Confirmation of Minutes     
Daingneachadh a’ Gheàrr-chunntais

There had been submitted for confirmation as a correct record the Minutes of Meeting of the Council held on 14 December 2017 and of the Special Meeting held on 15 February 2018 as contained in the Volume which had been circulated separately – which were APPROVED.

5. Minutes of Meetings of Committees
Geàrr-chunntasan Choinneamhan Chomataidhean

There had been submitted for confirmation as correct records, for information as regards delegated business and for approval as appropriate, the Minutes of Meetings of Committees contained in Volume circulated separately as undernoted:-

Lochaber Committee, 17 January
People Committee, 25 January 
Ross & Cromarty Committee, 31 January
Environment, Development & Infrastructure Committee, 1 February
Pensions Committee/Pensions Board, 8 February
Badenoch & Strathspey Area Committee, 13 February
Caithness Committee, 21 February
City of Inverness Area Committee, 22 February
Sutherland County Committee, 27 February
Corporate Resources Committee, 28 February
Isle of Skye & Raasay Committee, 5 March   

The Minutes, having been moved and seconded were, except as undernoted,  APPROVED – matters arising having been dealt with as follows:-

Badenoch & Strathspey Area Committee, 13 February 

*Starred Item: Item 8: PP. 521-522: A9 Dualling – Dalraddy to Slochd

It was AGREED to adopt a policy of introducing 20mph speed limits in main built up areas throughout Badenoch & Strathspey in consultation with local communities.

City of Inverness Area Committee, 22 February

*Starred Item: Item 7: PP 534-535: Roads Maintenance Programme 2018/19 

It was AGREED to review the allocation formula for Roads Maintenance to better reflect infrastructure design, usage and actual maintenance costs.

Corporate Resources Committee, 28 February

*Starred Item: Item 18: P.16: Community Asset Transfer Process

It was AGREED that the Scheme of Delegation should be updated to reflect the Community Asset Transfer process.

6. Highland and Western Isles Valuation Joint Board
Co-Bhòrd Luachaidh na Gàidhealtachd is nan Eilean Siar

There had been circulated Minutes of Meeting of the Valuation Joint Board held on 24 November 2017 (approved by the Board on 18 January 2018) which were NOTED.

7. Committee Structure 
Structar na Comtaidh

The Council AGREED the following – 

The ‘People’ Committee to now become the ‘Care, Learning and Housing’ Committee.

8. Membership of Committees, etc
Ballrachd na Comhairle

Pensions Board  

Members were reminded that currently Ms L Munro and Mr G Cruickshank were the Council representatives on the Pensions Board. 

In this regard, the Board had now requested that a named Substitute Member also be appointed in order to provide extra flexibility and with a view to future succession planning. This Member – who could not be a Member of the Pensions Committee - would have to undertake the specific training requirements associated with the role. 

The Council AGREED to appoint Mrs M Paterson as the Substitute Member to the Pensions Board as detailed.   

Poverty and Inequalities Working Group 

The Council AGREED to include Mr R Gale on the Poverty and Inequalities Working Group as the representative from the Liberal Democrat Group. 

9. Question Time    
Am Ceiste

The following Questions had been received by the Head of Corporate Governance in terms of Standing Order 42 –

(i)  Mr C Smith

To the Leader of the Council 

“What engagements have you and your Administration had with Her Majesty’s Government and the Devolved Scottish Administration since the last full Council?”

The response had been circulated.

In terms of a supplementary question, Mr Smith queried as to what had been discussed and whether there had been any outcomes from the recent official meeting at the Treasury and also whether a blog could be provided on the Council Website as part of the Leader’s list of engagements.    

In response, the Leader confirmed that consideration would be given to the provision of a blog in future and that a productive meeting had been held at the Treasury and it was hoped that further progress could be made in due course.  

(ii)  Mr R Laird

To the Leader of the Council

“What discussions have the Council had with NHS Highland over the future of the Health & Social Care Partnership?”

The response had been circulated.

In terms of a supplementary question, Mr Laird queried as to when recommendations arising from the review of the Health & Social Care Partnership would be submitted to the full Council.

In response, the Leader confirmed that very productive discussions had been undertaken between the Council and NHS Highland and that Officers would be submitting a report to both her and the Chair of the Care, Learning and Housing Committee at the end of the month. Thereafter, consideration would be given as to when to take a report to the Council. 

(iii)  Mrs L MacDonald

To the Leader of the Council 

“Could you please give me details of how communities have been involved in the decision making process of the Redesign Board as outlined in Section 3 of the remit of the Redesign Board?”

The response had been circulated.

In terms of a supplementary question, Mrs MacDonald queried as to whether, in light of the fact that there had been no public consultation on the introduction of car parking charges in some communities (and this would now require further consideration by the Redesign Board at a Workshop in the following week), the Leader agreed that the introduction of such charges had been premature.     

In response, the Leader confirmed that this did not represent a supplementary question as it had little bearing on the original question and a response would not therefore be provided. 

(iv)  Ms K Currie

To the Leader of the Council   

“What steps they you taken to mitigate the impact that your recent budget will have on people with protected characteristics which are defined in the 2010 Equality Act?”

The response had been circulated.

In terms of a supplementary question, and in relation to St Clement’s School and the discussion which had been undertaken during the budget meeting on the previous day, Ms Currie queried as to whether action would be taken as a matter of urgency to ensure that the Council was meeting public sector obligations in line with the Equalities Act.  

In response, and in noting the assurances which had already been given in regard to the school building, the Leader confirmed that discussions would also be undertaken as a matter of priority (with parents, staff and the wider community) on the model of education to be delivered at this school over the next decade.  

(v)  Ms K Currie

To the Chair of the Environment, Development & Infrastructure Committee

“What discussions did the Council have with the Kyle of Sutherland Development Trust over the imposition of car parking charges revealed in the budget savings at the Falls of Shin?”

The response had been circulated.

In terms of a supplementary question, Ms Currie queried as to whether a commitment could be given that consultation with Local Members would be undertaken as a priority in future to ensure that a situation such as that involving the Falls of Shin car park (where Local Members had not been aware of the situation) would not be repeated.  

In response, the Chair of the Environment, Development & Infrastructure Committee confirmed that a commitment could be given that Local Members would be consulted in future to avoid a repeat of this situation.

10. Notices of Motion  
Brathan Gluasaid

The following Notices of Motion had been received in accordance with Standing Order 10.1 –

Declaration of Interest – Mr S Mackie declared a non-financial interest in this item (i) on the grounds of being a member and former Chair of the Caithness Bus Action Group but, having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that his interest did not preclude him from taking part in the discussion.  

(i)“Council believes that the current review of Highland bus timetables by Stagecoach PLC will have a detrimental effect on both citizens and communities; notes with interest the Scottish Government's forthcoming Transport Bill which seeks to address many of the current problems in the commercial bus sector; and resolves to conduct feasibility work on the options for enhancing Highland bus services, including franchising and the creation of a publicly-owned bus operator, if and when such powers become available to local authorities.”

Signed: R MacWilliam, D Louden, M Smith 

During discussion, Members raised the following issues:-

• it had to be noted that the current review being undertaken by Stagecoach was having an adverse effect on a number of communities, including residents and commuters on a daily basis;
• the time was therefore right to open dialogue on the future of local public transport services, especially buses, as it was clear that the current arrangements were not working well;
• it would be important for the Council to be pre-emptive as opposed to reactive in relation to the forthcoming Scottish Government Transport Bill which would seek to address many of the current problems in the commercial bus sector;
• there was a need to recognise the valuable work undertaken by Council Officers to date which had resulted in a short term solution being put in place but ultimately there was a need for decisions to be made in regard to the medium and long term;
• it was clear that the need for public transport would increase in the future and this had to be at the forefront of discussions about the level of service required;
• the provision of adequate bus services were imperative in rural areas and also for the young, the elderly and those people who were socially isolated;
• there was also a need for consideration to be given to appropriate ticketing options for regular users;
• it would be helpful to have further detail in the near future on the proposals which were to come forward as part of the Transport Bill in order to able to consider future options, not least in terms of the unique geography and circumstances in the Highland area;
• whilst supporting the aims of the Notice, it was suggested that there should also be additional reference included as follows – to conduct feasibility work on the options for enhancing Highland bus services ‘at the soonest opportunity by the Redesign Board once the details and outcomes of the Bill were known’; and
• in terms of empowering communities, and not least in order to enable local solutions for local problems to be realised, it was important to involve all participants in this issue wherever possible, including HiTrans, the Traffic Commissioner, taxi representatives, travel providers and passengers from across the Highland area.

Thereafter, Mr R MacWilliam, seconded by Mr D Louden, MOVED the terms of the Notice of Motion as detailed.

As an AMENDMENT, Mr A Henderson, seconded by Mr J Gray, moved that the last part of the Notice should be amended to read as follows – ‘and resolves to conduct feasibility work on the options for enhancing Highland bus services at the soonest opportunity by the Redesign Board once the details and outcomes of the Bill are known, including franchising and the creation of a publicly-owned bus operator, if and when such powers become available to local authorities’. 

On a vote being taken, the MOTION received 20 votes and the AMENDMENT received 40 votes, with no abstentions, and the AMENDMENT was therefore CARRIED, the votes cast having been as follows:-

For the Motion:
Mr R MacWilliam, Mr D Louden, Mr R Bremner, Mrs P Munro, Mr K Rosie, Mr K Gowans, Mr C MacLeod, Mrs M Paterson, Miss J Campbell, Ms K Currie, Ms E Knox, Mrs M Cockburn, Mr B Allan, Mrs L MacDonald, Mr B Boyd, Mrs G Campbell-Sinclair, Dr I Cockburn, Mr G MacKenzie, Ms M Smith and Mr R Laird.   

For the Amendment:                   
Mr A Henderson, Mr D Macpherson, Mr R Balfour, Mr L Fraser, Mr G Ross, Mr T Heggie, Mrs B McAllister, Mrs D MacKay, Ms K Stephen, Mr A Jarvie, Mr G Cruickshank, Mr J Gordon, Mr H Morrison, Ms L Munro, Mr G Adam, Mr R Gale, Mr A Graham, Mr A Sinclair, Mr J Bruce, Mr I Ramon, Mr R MacDonald, Mr D MacKay, Mrs F Robertson, Mrs I Campbell, Mrs J Barclay, Mrs T Robertson, Mrs A MacLean, Mrs C Caddick, Mr C Smith, Mr S Mackie, Mrs I MacKenzie, Mr P Saggers, Mr B Lobban, Mrs H Carmichael, Mrs M Davidson, Mr M Reiss, Mr A Baxter, Mr A Christie, Ms N Sinclair and Mr B Thompson.  

Decision

The Council AGREED that the current review of Highland bus timetables by Stagecoach PLC would have a detrimental effect on both citizens and communities, noted with interest the Scottish Government's forthcoming Transport Bill which sought to address many of the current problems in the commercial bus sector and resolved to conduct feasibility work on the options for enhancing Highland bus services at the soonest opportunity by the Redesign Board once the details and outcomes of the Bill were known.  

(ii)“Quarterly Accounts – the Highland Council instructs the Director of Corporate Resources to produce accurate accrual-adjusted quarterly accounts in order to improve ongoing scrutiny of the Council’s finances”.

Signed: D Louden, R Bremner

At this point, Mr Louden and Mr Bremner confirmed that, after having spoken to other Members, they were content to amend the wording of the Motion as follows – ‘the Highland Council requests the Director of Corporate Resources to produce up-to-date accrual-adjusted quarterly accounts in order to improve ongoing scrutiny of the Council’s finances’. 

During discussion, Members raised the following issues:-

• there was a need to highlight that the wording in the Notice of Motion was not intended to criticise the Depute Chief Executive/Director of Corporate Resources or his staff in any way but an attempt to help both the Service and the Council;
• in this regard, thanks were conveyed to the Director and his Officers for the information which had been supplied in the lead up to the determination of the budget by the Council;
• what was being sought was more detailed information on variances/budget codes (in order to identify potential areas for savings at an earlier stage during the year) and the opportunity to review current processes;
• there was a need to both recognise and acknowledge the professional expertise of Officers in the presentation of proposals for consideration by Members and in this regard Audit Scotland had previously stated that Highland Council had sound financial management in place;
• detailed financial reports were already presented to Strategic Committees and it was felt that this was sufficient;
• if the proposed change to the accounting arrangements was implemented, it would lead to a substantial increase in workload for the Service concerned at a time when staffing levels had been reduced; and   
• it should be noted that there would be further information in due course from the Administration in terms of how and when zero based budgeting would be introduced and the resources required.

Thereafter, Mr D Louden, seconded by Mr R Bremner, MOVED the terms of the amended Notice of Motion as detailed.

As an AMENDMENT, Mr M Reiss, seconded by Mr A Baxter, moved that the Council should not agree to the request to produce up-to-date accrual related quarterly accounts on the basis that the Council had full confidence in the information provided by the Finance Team.

On a vote being taken, the MOTION received 19 votes and the AMENDMENT received 35 votes, with 7 abstentions, and the MOTION was therefore CARRIED, the votes cast having been as follows:-

For the Motion:
Mr D Louden, Mr R Bremner, Mrs P Munro, Mr K Rosie, Mr K Gowans, Mr C MacLeod, Mr R MacWilliam, Ms K Currie, Ms E Knox, Mrs M Cockburn, Mr B Allan, Mrs L MacDonald, Mr D MacLeod, Mr B Boyd, Mrs G Campbell-Sinclair, Dr I Cockburn, Mr G MacKenzie, Ms M Smith and Mr R Laird.  

For the Amendment:
Mr M Reiss, Mr A Baxter, Mr D Macpherson, Mr R Balfour, Mrs M Paterson, Miss J Campbell, Mr L Fraser, Mr G Ross, Mr T Heggie, Mrs B McAllister, Mrs D MacKay, Ms K Stephen, Mr J Gordon, Mr H Morrison, Ms L Munro, Mr G Adam, Mr R Gale, Mr A Graham, Mr R MacDonald, Mrs F Robertson, Mrs I Campbell, Mrs J Barclay, Mrs T Robertson, Mrs A MacLean, Mrs C Caddick, Mr C Smith, Mr P Saggers, Mr B Lobban, Mr A Henderson, Mrs H Carmichael, Mrs M Davidson, Mr A Christie, Mr J Gray, Ms N Sinclair and Mr B Thompson.    

Abstentions:
Mr A Jarvie, Mr G Cruickshank, Mr A Sinclair, Mr J Bruce, Mr I Ramon, Mr S Mackie and Mrs I MacKenzie.                

Decision

The Council AGREED not to take any action on the request to produce up-to-date accrual related quarterly accounts on the basis that there was full confidence in the information currently provided by the Finance Team.

11. Redesign of Highland Council – Update and Review Recommendations
Ath-dhealbhadh Chomhairle na Gaidhealtachd – Aithisg Adhartais

There had been circulated Report No. HC/3/18 dated 27 February 2018 by the Chief Executive.

In this regard, there had also been circulated Minutes of Meetings of the Redesign Board held on 19 December 2017 and 27 February 2018.

During discussion, it was agreed that thanks should be conveyed to the Board for the considerable and significant work which had been undertaken to date, and specifically to the Chair of the Board and the Head of Policy & Reform in this regard.     

Decision

The Council NOTED:-

• the improvements staff identified in the Lean reviews reported in this period for billing in wrap around care for early years and childcare and in fly-tipping;
• that the Lean programme was continuing with more staff ideas being considered for projects, more staff to be trained in the methods to use, new ways of appreciating staff efforts to be developed and that an annual evaluation report was planned for a future Council meeting;
• that the Board’s recommendations on music tuition had been agreed by the People Committee and were now being implemented;
• that the Board’s recommendations on investing in solar PV on the Council’s estate had been reported to the Corporate Resources Committee in February 2018 with a view to income generation;
• that the Board’s grey fleet review recommendations would reduce cost, carbon emissions and corporate risk. These could be achieved by reducing the need to travel and making it easier to access alternatives to grey fleet (greater use of pool cars, car clubs and pool bike schemes where appropriate) with an estimated saving of £500k annually.  These actions could be delegated to Officers with the Depute Chief Executive/Director of Corporate Resources responsible for implementation with the plan set out in Appendix 1; 
• that the Board recommended in-sourcing some procured legal services with actions delegated to Officers as set out in Paragraph 4.14 which would be at least cost neutral and expected to avoid further cost and reduce expenditure;
• that Members with ideas for reviews could contact the Chair of the Board or Head of Policy and Reform; and
• that other types of reviews focused on savings would need to be developed given the savings target agreed for the Redesign Board in 2018/19.

It was also AGREED that staff travel policies should be reviewed to support the implementation of the grey fleet review. Changes to the travel policy identified from the review would be delegated to the Corporate Resources Committee.

The Council further AGREED the Board’s recommendations to in-source some procured legal services as follows:- 

(a) to reduce dependency on and the cost of commissioned legal services, a Solicitor post is established at a cost of £45,000 (including on-costs) with the full time post recruited to either on a full time or part time basis which would at a minimum be cost neutral, to focus on employment and some procurement and litigation activity; and 

(b) to establish a Paralegal Apprenticeship post at a cost of £32,000 (including on-costs) once qualified. This would strengthen conveyancing capacity to deliver financial savings and additional income for the Council. 

The Council also AGREED the Minutes of Meetings of the Redesign Board held on 19 December 2017 and 27 February 2018 as circulated.
                                                       
12. Treasury Management Strategy Report 
Aithisg Ro-innleach Rianachd Ionmhais
 
There had been circulated Report No. HC/4/18 dated 28 February 2018 by the Depute Chief Executive/Director of Corporate Resources.

Decision

The Council APPROVED the Treasury Management Strategy Statement and Investment Statement for 2018/19 and the Prudential Indicators as detailed in Appendix 1 to the report.
 
13. Islands (Scotland) Bill 2018 – Update Report
Bile nan Eilean (Alba) 2018 – Aithisg Urachaidh

There had been circulated Report No. HC/5/18 dated 22 February 2018 by the Chief Executive.

During discussion, and following a summary of progress to date, Members raised the following issues:-

• it was suggested that the third recommendation within the report should be amended to read as follows – “The Council is also asked to agree to lobby and contribute to the work of the Rural Economy and Connectivity Committee to seek amendments to the Islands Bill to ensure that support for Local Government arising from the new legislation will be provided for by the Scottish Government both financially and otherwise”;
• on the basis that the Council was no longer a formal member of KIMO, there was still a need to recognise the importance of ongoing involvement in regard to the issue of Emergency Towing Vessels and specifically their location in the area;
• there was a need for the Council to understand and to learn lessons from the Island Councils who had enjoyed considerable success over previous years in terms of effective and productive consultation and lobbying of both the UK and Scottish Governments on a range of issues;
• with reference to the redesign of health care in Skye and Raasay in particular, it had to be noted by NHS Highland that the intention was for impact assessments to become a normal procedural step in decision making processes (in the manner of the equality impact assessment) and it was hoped that this would have a positive impact in this regard; and
• it was confirmed that the issues raised would be highlighted at the forthcoming COHI meeting and that there would be constant vigilance at all times in the future to ensure that the Highland area was not disadvantaged in any way.       

Decision

The Council NOTED the progress of the Bill and welcomed the numerous positive changes being proposed in the Stage 1 report.

It was also AGREED to lobby the Rural Economy and Connectivity Committee and Highlands and Islands MSPs to oppose the proposal to make the creation of local authority level plans a statutory requirement.  

In addition, it was further AGREED to lobby and contribute to the work of the Rural Economy and Connectivity Committee to seek amendments to the Islands Bill to ensure that support for Local Government arising from the new legislation would be provided for by the Scottish Government both financially and otherwise. 

14. Response to Scottish Government Consultation on Electoral Reform
Freagairt do Cho-chomhairle Riaghaltas na h-Alba air Ath-leasachadh Taghaidh

There had been circulated Report No. HC/6/18 dated 22 February 2018 by the Chief Executive.

During discussion, it was suggested that, rather than submitting a Council response, it should be left to individual Groups and Members to submit a response separately if they so wished. 

Decision
 
It was AGREED that individual Groups or Members could respond separately to the Scottish Government Consultation on Electoral Reform (as opposed to a response coming from the Council).

15. The Highland Partnership Integration Scheme: Revision in line with the Carers (Scotland) Act 2016
Sgeama Amalachaidh Com-pairteachas na Gaidhealtachd: Ath-sgrudadh a reir Achd an Luchd-curaim (Alba) 2016

Declarations of Interest 

Mr A Christie declared a financial interest in this item as a Non-Executive Director of NHS Highland but, having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that his interest did not preclude him from taking part in the discussion.  

Mrs D MacKay declared a financial interest in this item as Non-Executive Directors of NHS Highland but, on the basis of having a dispensation and having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, confirmed that her interest did not preclude her from taking part in the discussion.                                              

There had been circulated Joint Report No. HC/7/18 dated 12 February 2018 by the Director of Care & Learning, Highland Council and the Director of Adult Care, NHS Highland.  

Decision

The Council AGREED that the revised Highland Integration Scheme should be submitted for approval by Scottish Ministers.  

16. Local and National Statutory Performance Indicators (SPIs) 2016/17
Comharran Coileanaidh Reachdail Ionadail agus Naiseanta 2016/17

Declarations of Interest 

Mr A Christie declared a financial interest in this item as a Non-Executive Director of NHS Highland but, having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that his interest did not preclude him from taking part in the discussion.  

Mrs D MacKay declared a financial interest in this item as Non-Executive Directors of NHS Highland but, on the basis of having a dispensation and having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, confirmed that her interest did not preclude her from taking part in the discussion.                                        

Mr R Balfour and Mrs M Cockburn declared non-financial interests in this item as Directors of the Inverness, Nairn, Badenoch & Strathspey Citizens Advice Bureau but, having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that their interests did not preclude them from taking part in the discussion.  

There had been circulated Report No. HC/8/18 dated 26 February 2018 by the Chief Executive.
During a summary of the report, the Chief Executive provided an overview from a corporate perspective during which it was confirmed that overall 77% of SPIs had improved by 5% or more or performance had been maintained compared to 75% in the previous year. Also, for the 75 indicators which were nationally benchmarked, there were 11 in the top quartile and 14 in the bottom quartile.

Key messages arising from the data included that improvements (cost reduction) were seen in many of the local and benchmark cost indicators although it was noted that budget decisions had been a significant driver for these changes. However, benchmark indicators such as the cost of roads maintenance focused on the lowest spend being ranked the highest nationally and the result was that additional investment was perceived negatively as the result was an increase in unit cost.

Overall, more detailed analysis was needed by Services to understand the factors that linked performance and resource and to identify opportunities where redesign, LEAN and benchmarking could support learning and improvement activity. This would in turn provide greater clarity on the impact of Council budget decisions. 
The data also provided an important corporate overview for the Council of performance which would support informed choices and decision making, drive improvement where appropriate and strengthen public accountability. Effective use of performance data in the current challenging operating environment would also support the Council to redesign in the future. 

Thereafter, the Director of Care and Learning highlighted three key success areas, namely that the number of children offending in the Highland had continued to decrease, there had been an increase in the number of looked after children being placed in Kinship Care and there had been an increased number of direct payments for self-directed care within Adult Social Care. 

Reference was also made to the increase in Adult Social Care costs (which was partly a result of the commitment to paying the living wage to all staff) and the increase in ‘permanence planning’ indicators (which was largely due to a small number of complex cases in regard to the time between a child being accommodated by the Local Authority to being placed into a permanent situation).

During discussion, Members raised the following issues:-

• the improved format of the report was welcomed and particularly the inclusion of narrative to explain trends and background information;
• information was sought and received on teacher recruitment initiatives, including probationers and supply teachers and the need to alter contracts to meet the needs of rural schools. The burden of ‘out of hours’ work by teachers was also highlighted and appreciation for their efforts expressed;
• clarification was sought and received on the suite of criteria for SIMD, the Scottish Government's official tool for identifying small area concentrations of multiple deprivation in Scotland, with measures including a national Working Group and joint working between the Highland and Aberdeenshire Councils. It was acknowledged that these figures could fluctuate due to relatively low cohorts or as a result of historical events for which the effects were only noticed many years later;
• pupil attainment was a key issue and should also take into consideration all pupils (and not just the most able). Whilst there was concern about the need for investment in many school buildings, it had to be highlighted that what actually happened within the school was equally as important;
• there was a need for further detail on the permitted level of carry-forward on devolved school budgets;
• it was stressed that some indicators were more significant than others in terms of being ‘life-changing’, such as the well-being of young people, care of the elderly and tackling homelessness. Also, some areas of low performance were for positive reasons, such as the commitment to paying the living wage which had increased costs;
• the increase in the numbers of looked after children being placed in Kinship Care was welcomed and it was hoped that more detailed information on this, including comparison with other Scottish Local Authorities, could be presented to the Care, Learning and Housing Committee;
• it was hoped that the over-reporting of participation at Inverness Leisure in the previous year had been rectified; and
• it should be noted that the Pupil Equity Fund was intended for (and should be used for) equipment rather than for additional support needs staffing.

The Director of Community Services explained that of the thirty four Indicators for his Service, twenty nine had shown an improvement of more than 5%. 

In this respect, various headline indicators were highlighted, including roads, traffic lights, waste, street cleaning, environmental health and various housing issues (including the SHQS programme and repairs) and it was confirmed that that many of these indicators were also scrutinised at Local Committee meetings.

During discussion, Members raised the following issues:

• there was a need to convey thanks to all Community Services staff for their hard work and diligence during the extremely poor weather of the previous weeks; 
• in response to a query in relation to homelessness, it was explained that it was not always possible to house homeless people locally. However, this and other homelessness issues would be the subject of a report to the next Environment, Development and Infrastructure Committee meeting; and
• recent examples of joint working between housing staff and local communities was highlighted and welcomed.

The Director of Development and Infrastructure summarised the thirteen indicators for his Service, eight of which had shown an improvement and five of which were static. 

In this regard, various aspects of the report, including issues around building standards and planning (such as the move towards full cost recovery, the challenges of the Highland geography and the assistance that had been provided to businesses through the Business Gateway) were highligthed.

During discussion, Members raised the following issues:

• there was a need to highlight that members of the public had to contact the Planning department in advance of commencing projects which might require permission, with information being sought and provided on sanctions and enforcement for unauthorised works;
• the importance of wealth-creation services, such as Business Gateway, was emphasised;
• in regard to concerns which had been expressed that the high fees for large scale business applications might prove prohibitive and place undue pressure on Councillors to approve applications, it was explained that the planning fees were often relatively small compared to the overall costs of such projects. Also, the staff costs involved in processing applications (which were often significant) required to be recovered; and
• there was concern in relation to building works being left unfinished for long periods of time in certain locations and becoming unsightly.

The Depute Chief Executive/Director of Corporate Resources summarised his section of the report and pointed out that the indicators reported were still subject to audit. Achieving consistency across nationally agreed indicators was challenging but Local Authorities could be grouped into similar ‘families’ to help facilitate a like-for-like comparison. 
Also, the outcomes of some indicators were the direct result of budget decisions where a disproportionate level of savings had been made in certain Services, such as Human Resources. 

Reference was also made to the fact that Highland had come first in Scotland for benefit processing and this was welcomed, although it was noted that there was scope for improved efficiency in other areas.

Decision

The Council NOTED the performance of SPIs for 2016/17 as detailed and where relevant their national benchmark position.

The Council also NOTED that Service Plans would be presented to the first round of Strategic Committee meetings in 2018/19 and that Members should expect the opportunity to scrutinise plans in response to the information contained in the report at that time.  

17. Highland Opportunity (Investments) Limited
Cothrom dhan Gahidhealtachd (Tasgaidhean) Earranta

Declarations of Interest - Mr D Macpherson and Mr G Adam declared non-financial interests in this item as Directors of Highland Opportunity (Investments Limited) but, having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that their interests did not preclude them from taking part in the discussion.  

The Council was advised that there were currently 2 vacant places on Highland Opportunity (Investments) Limited – a company which created and sustained employment in the Highlands through investment in businesses and community enterprises. There were six meetings held during the year and the role of Directors was to consider individual investment proposals and decide on their merit and set out the strategic policy of the company. 

It was considered desirable for Directors to have appropriate business orientated experience and in this regard the Role Profile and Skills Set had also been circulated. 

Decision

The Council AGREED to appoint Mrs C Caddick and Mr D MacKay to Highland Opportunity (Investments) Limited as detailed. 

18. Establishment of Waste Strategy Member Group
Steidheachadh Buidheann Bhall Ro-innleachd Sgudail     

Members were advised that the previous Council – at a meeting in March 2017 – had agreed to recommend to this Council that a cross-party Member Group should be established to enable oversight of key actions in relation to the Council’s Waste Strategy. 

On that basis, it was now proposed that this short life Group – comprising 9 Members of the Council (4/3/1/1) – should now be set up and the first meeting arranged in the next few weeks.

Decision

The Council AGREED the establishment of the Waste Strategy Member Group as detailed.  

19. Standing Orders - Alteration   
Òrdughan Seasmhach – Atharrachadh

Members were advised that it was intended to submit a report to the next scheduled full Council meeting on Thursday, 10 May to allow consideration/clarification in relation to specific aspects of the current Standing Orders, including arrangements for Special Meetings of the Council and the submission of Questions and Notices of Motion (including the formal acceptance of email signatories).

Decision

The Council AGREED that a report should be submitted to the next meeting on Standing Orders as detailed.

It was also AGREED that a full (annual) review of Standing Orders should be undertaken thereafter and that Group Leaders should be invited to oversee any changes prior to their submission to the full Council meeting in September.

20. Timetable of Meetings 
Clàr-ama Choinneamhan 

The Council AGREED the following changes to the timetable of meetings - 

People Committee – to now be held on 22 August (instead of 29 August)
Corporate Resources Committee – to now be held on 29 August (instead of 22 August)
Lochaber Committee – to now be held on 30 August (instead of 15 August)  

21. Deeds Executed
Sgrìobhainnean Lagha a Bhuilicheadh

It was NOTED that a list of deeds and other documents executed on behalf of the Council since the meeting held on 14 December 2017 was available in the Members’ Library and on the Council’s Website.

The meeting ended at 4.00pm.