Agendas, reports and minutes

Minutes of Meeting of the Corporate Resources Committee held in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Wednesday 20 November 2019 at 10.30 am.

Present:
Mr G Adam
Mr R Bremner
Mr J Bruce
Mrs C Caddick
Mrs M Davidson
Mr L Fraser
Mr R Gale
Mr A Jarvie
Mr B Lobban    
Mr D Louden 
Mr A MacInnes
Mrs D Mackay (VC)
Mr A Mackinnon
Mr D Macpherson (substitute)
Mrs M Paterson
Mr M Reiss
Mr P Saggers
Mr B Thompson

Non Members also Present:
Mrs J Barclay
Mr J McGillivray (VC)

Officials in attendance:
Mrs D Manson, Chief Executive
Ms L Denovan, Executive Chief Officer –Resources & Finance 
Mrs K Lackie, Executive Chief Officer – Performance and Governance
Mr E Foster, Head of Corporate Finance and Commercialism, Corporate Resources Service
Mrs S McKandie, Benefits and Welfare Manager, Corporate Resources Service
Mr J Shepherd, ICT Operations Manager, Corporate Resources Service
Mr D Mackenzie, Trading Standards Manager, Development & Infrastructure Service
Mrs L Dunn, Principal Administrator, Chief Executive’s Office
Ms A Macrae, Committee Administrator, Chief Executive’s Office

An asterisk in the margin denotes a recommendation to the Council.  All decisions with no marking in the margin are delegated to the Committee.

Mr A Mackinnon in the Chair

Business

1. Apologies for Absence
Leisgeulan

Apologies for absence were intimated on behalf of Mrs G Campbell-Sinclair, Mrs H Carmichael, Dr I Cockburn, Mr R MacDonald, Mr G MacKenzie, Mr S Mackie, Mr D Rixson.

2. Declarations of Interest
Foillseachaidhean Com-pàirt

Item 5: Mr R Bremner (non-financial)

3. Good News
Naidheachdan Matha

• The Highland Council Modern Apprenticeship Programme had recently received a Good assessment from Skills Development Scotland quality audit.  There were currently 20 Early Years Practitioners on the Programme and it was on track to reach 191 starts by the end of the current financial year;
• John Greig joined the Highland Council as a Youth Trainee in October 2018 and completed an SVQ in IT and Telecommunications.  In addition, Mr Greig was also awarded the Trainee of the Year award at The Highland Council Awards ceremony and he had secured a full-time role as a Digital Service Officer; and
• Lily Scrimgeour completed her apprenticeship and Scottish Vocational Qualification in Business Administration and had secured a position as a Revenues Assistant in Corporate Resources.

The Committee NOTED the update.

4. Appointments to Sub-Committees, Working Groups, etc
Cur an Dreuchd gu Fo-Chomataidhean, Buidhnean-obrach is eile

The Committee APPROVED the appointments to the following Sub-Committees, Working Groups etc:- 

• Central Safety Committee – Mr Alex MacInnes
• Employment Release Sub-Committee – Mr Graham Mackenzie

CARE AND LEARNING SERVICE
SEIRBHEIS A’ CHÙRAIM AGUS AN IONNSACHAIDH

5. Gaelic    
Maoin

Declaration of Interest – Mr R Bremner declared a non-financial interest in this item as the Chair of the local organising Committee for the Royal National Mòd in Caithness, Caithness branch of An Comunn Gàeidhealach, and the Caithness and Sutherland Local Mòd 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.

Prior to consideration of the reports, the Chair read out the following statement:-

There had been correspondence with Arthur Cormack regarding funding for Blas and Feisean nan Gaidheal, and useful recent meetings between him and the Chief Executive during her visit to Skye. There has been confusion over previous meetings and internal enquiries have established that the quality of correspondence has not been what it should have been and this has not been helped by the turnover of key staff.  As a result, an apology has been made to Mr Cormack for these misunderstandings and a commitment has been given that moving forward, the Council will be clearer in communications with the Blas and Feisean and notification of funding will be as early as possible.  

(a)    Gaelic and Culture Update
        Aithisg Ùrachaidh Gàidhlig agus Cultair

There had been circulated Report No RES/35/19 by the Chief Executive.

During discussion, the following main points were raised:-

• the report highlighted the crucial contribution of the Council to the National Gaelic Plan 2018-20 and the Scottish Government’s targets for growth especially in education provision;
• the importance of good relationships being maintained with all the Gaelic organisations which the Council funded;
• future reports be more streamlined to comprise the salient points and the work being undertaken be related to each of the key Gaelic Language Plan Themes;
• clarification be provided on the engagement around the Community Partnership Development Plans;
• information be provided on the increase in the actual number of Gaelic speakers and positive trends in Highland;
• more work was required on the commitment to identify and provide opportunities for Members and staff to learn Gaelic;
• there was also a need to focus on developing strategies for both the Gaelic jobs markets and Gaelic related jobs;
• Education work be presented in graph form particularly in regard to the delivery and resourcing of Gaelic L2 and L3;
• the need to separate out in the report the information relating to support for early years;
• the Council be praised for its significant support to the Scottish Government targets as demonstrated at section 8 of the report and thanks be conveyed to the Gaelic Team on the figures achieved;
• further information be provided on the breakdown of spend according to projects and the resulting outcomes and benefits being achieved;
• the strategic priority and accountability for Gaelic within the Council in terms of education and economic development be welcomed; and
• the need to build on the significant contribution of the Gaelic language and activities and events to the Highland economy and the important role of the new Gaelic Committee in this regard.

The Committee APPROVED the contents of the report and AGREED that future reports be more streamlined to comprise the salient points and:-

a.    The work being undertaken be related to each of the key Gaelic Language Plan Themes;
b.    Education work be presented in graph form particularly in regard to the delivery and resourcing of Gaelic L2 and L3; and
c.    Further information on the breakdown of spend according to projects and the resulting outcomes and benefits being achieved.

(b) Support to Royal National Mòd
Taic dhan Mhòd Nàiseanta Rìoghail

There had been circulated Report No RES/36/19 dated 12 November 2019 by the Chief Executive.

During discussion, the following main points were raised:-

• the recommended funding support to be awarded annually over four years to An Comunn Gaidhealach to host the Royal National Mòd represented a small reduction in funding from the Council;
• the major contribution the Royal National Mòd made to the economy and communities in Highland including in the lead up, its legacy thereafter, and in supporting the Gaelic Language Plan; 
• the need to improve the reporting on the outcome and benefits of other successful Gaelic events and festivals which the Council funded;
• the Council’s contribution to each Royal National Mòd represented an overall increase over four years, compared to the previous award over a period of three years; 
• An Comunn Gaidhealach should therefore reduce the significant level of funding local organising committees were required to raise for the event. The Chair confirmed this issue would be raised in discussions with the organisation;
• the potential for the Royal National Mòd to be held in other areas of Highland and the ability of the Council to influence this decision; 
• the financial benefits to the Council of hosting the Mòd in Lochaber in 2017 where a Council owned building was used as a main venue; and
• the official launch date of the Royal National Mòd Inverness 2020 be confirmed to Members.

The Chief Executive advised that a rapid review of events and festivals was being carried out and due to be completed in December 2019 and the findings would be reported back to Members. There was a focus initially on next year’s Mòd and on the importance of fringe events to bring the best benefits, experience, legacy and income generation for the Council and wider groups. 

Thereafter, the Committee:-

i.     AGREED that the Royal National Mòd (RNM) was hosted in the Highland Council area in 2024, 2028 and 2032; 
ii.    APPROVED that as part of the Highland Council’s revised governance and renewed SDC that support of £37.5k was awarded annually over 4 years to ACG to host the RNM in the Highlands. This would be a 6.25% reduction in funding from the Highland Council as it replaced the £40k which was awarded annually; and
iii.   AGREED the official launch date of the Royal National Mòd Inverness 2020 be confirmed to Members.

FINANCIAL MONITORING
SGRÙDADH IONMHASAIL

6. Corporate Revenue Monitoring Report to 30 September 2019    
Aithisg Sgrùdaidh Teachd-a-steach Corporra gu 30 Sultain 2019

There had been circulated Report No RES/37/19 dated 1 November 2019 by the Executive Chief Officer - Finance and Resources.

The Chair welcomed the significant improvement in the forecast year end position compared to the previous quarter. He advised this demonstrated that the governance, monitoring and tracking of budgets which had been put in place was working.  It should be recognised there continued to be challenges going forward such as the potential impact on the budget in the event of a severe winter.  However, by working with Members on a cross party basis and with staff there was confidence a balanced budget and potentially an underspend could be delivered at the end of the current financial year.  

During discussion, Members welcomed the improved financial position as outlined in the report and raised the following main points:-

• clarification was sought and provided in relation to the impact on reserves depending on the year end position;
• clarification was sought on the level and impact of the additional ASN funding awarded by the Scottish Government. The Head of Corporate Finance and Commercialism reported that the Council had not yet been advised of the level of award or whether this would apply to the current or next financial year; 
• a balanced budget was being achieved through the variance in staff costs and therefore the hard work and efforts of staff should be recognised;
• concern that the reliance on managing staff costs was not sustainable and the need to introduce new ways of working in those areas with the highest levels of vacancy management; 
• the Council was in the process of considering more efficient ways of working and transformation of services and therefore the holding of posts was necessary and staff be commended for embracing change at a challenging time;
• assurance was provided that the welfare of staff was of the upmost importance and that a governance board met weekly to consider the business cases for filling vacancies;
• an explanation was sought and provided in relation to the figures shown and work ongoing in relation to the unallocated corporate savings shown in the report and the areas where there were challenges in delivering these savings;
• the need to consider the opportunities in respect of those areas where savings had yet to be made;
• the Corporate Finance Team and budget holders and managers across the Council be commended on delivering a significantly improved financial position;
• the improved financial governance and control of the budget which had been put in place had resulted in the Council being in a better place financially at this stage of the year than for a number of years; and
• the relevant staff be commended on the outstanding success of the Placement Services Change Programme which had received a Quality Award.

Thereafter, the Committee NOTED:-

ii.     the financial position of the General Fund and HRA revenue budgets as at 30 September 2019 and note the estimated year end forecast;
iii.    the status of budgeted savings in the year; and
iv.     the action in progress intended to deliver a balanced budget by year end.

7. Corporate Capital Monitoring Report to 30 September 2019
Aithisg Sgrùdaidh Calpa Corporra gu 30 Sultain 2019

There had been circulated Report No RES/38/19 dated 1 November 2019 by the Executive Chief Officer - Finance and Resources.

In discussion the proposal for the Storr Car Park was welcomed and it was suggested that an assessment be carried out on the potential to develop other similar income generating initiatives in areas where there was clear evidence of demand. The proposed scale of the charging was queried in terms of whether these had been set at an appropriate level and had been based on good practice elsewhere. The Chair confirmed that further information would be provided to Members on the rationale for the proposed charging regime for Storr Car Park. 

During further discussion, the following main points were raised:-

• an explanation was sought and provided on the adjustment to the flooding grant referred to in Appendix 3 to the report;
• an explanation was sought and provided on the underspend shown on the General Fund net capital budget in terms of the early years spend;
• there was a need for further discussions involving Members on the reasons for the underspend shown on the Housing Revenue Account and to consider how this could be resolved given the level of housing need in the Highlands; and
• concern at the potential long-term implications of the remodelling of the debt as set out in section 3.1 of the report and the need to ensure this did not create a burden for the Council in future.

The Leader confirmed she would discuss with the Chair of the Environment, Development and Infrastructure Committee, the opportunity to hold a briefing session for Members in relation to the spend on the Housing Revenue Account.

Thereafter, the Committee:-

i.     NOTED the financial position of the General Fund and HRA Capital Programmes as at 30 September 2019; 
ii.    APPROVED £0.420m of capital expenditure on Storr Car Park Phase 2 with the associated loans charges and running costs to be fully funded by income generated by car parking charges from the whole Storr site; 
iii.   AGREED that further information be provided on the rationale for the proposed charging regime for Storr Car Park; and
iv.    NOTED that the Leader would discuss with the Chair of the Environment, Development and Infrastructure Committee, the opportunity to hold a briefing session for Members in relation to the spend on the Housing Revenue Account.

8. Corporate Resources Service and Welfare Budget Revenue Monitoring to 30 September 2019
Sgrùdadh Teachd-a-steach Seirbheis nan Goireasan Corporra agus Buidseat nan Sochairean gu 30 Sultain 2019 

There had been circulated Report No RES/39/19 dated 21 October 2019 by the Executive Chief Officer - Finance and Resources.

During discussion, confirmation was provided that the savings in regard to the Welfare Budget 2018/19 had not been to the detriment of low-income families.

Thereafter, the Committee AGREED the financial position of the Corporate Resources Service and Welfare budget as at 30 September 2019.

9. Corporate Resources Service Capital Monitoring Report to 30 September 2019          
Aithisg Sgrùdaidh Calpa Seirbheis nan Goireasan Corporra gu 30 Sultain 2019

There had been circulated Report No RES/40/19 dated 21 October 2019 by the Executive Chief Officer - Finance and Resources.

The Committee AGREED the financial position of the Corporate Resources Service capital budget as at 30 September 2019. 

10. Chief Executive’s Office and Members’ Revenue Monitoring Report to 30 September 2019
Aithisg Sgrùdaidh Teachd-a-steach Oifis an Àrd-Oifigeir agus nam Ball gu 30 Sultain 2019

There had been circulated Report No RES/41/19 dated 12 November 2019 by the Chief Executive.

The Committee AGREED the financial position of the Chief Executive’s Office and Members’ budget as at 30 September 2019. 

CHIEF EXECUTIVE’S OFFICE
OIFIS AN ÀRD-OIFIGEIR

11. Change Fund Bid: Approved Trader Scheme    

There had been circulated Report No RES/42/19 dated 12 November 2019 by the Executive Chief Officer – Performance and Governance.

During discussion, the following main points were raised:-

• The scheme was welcomed but a request was made for monitoring and reporting arrangements to be implemented with a view to the scheme being revised if necessary.  The Chair provided assurance that a report would be brought back to a future meeting of the Committee as part of the overall governance arrangements; 
• Mixed views were expressed in regard to the fee structure with some support being indicated for the fee scaling system (Option 3).  However, in contrast it was felt that the level of business sign-up would be critical and, on this basis, it was therefore felt that a flat rate fee (as per Option 1 or 2) would be the best route to ensuring a high volume of take up; and 
• It was highlighted that many businesses were already members of their own professional/industry accreditation scheme and were therefore unlikely to pay for the same service twice.

Thereafter, the Committee:-

i.     NOTED Business Case;
ii.    APPROVED the development of an Approved Trader Scheme for the Highland area; and
iii.   AGREED that arrangements be put in place at the earliest opportunity for regular monitoring reports on the scheme to be submitted to Members.

CORPORATE RESOURCES SERVICE
SEIRBHEIS NAN GOIREASAN CORPORRA

12. Treasury Management
Rianachd Ionmhais 

(a) Mid-Year Treasury Management Report 2019/20
Aithisg Stiùiridh Meadhan-Bliadhna an Ionmhais 2019/20

There had been circulated Report No RES/43/19 dated 7 November 2019 by the Executive Chief Officer - Finance and Resources.

During discussion, the following main points were raised:-

• Members commended the work of the Treasury Team for the borrowing activities that had been undertaken and timing of these;
• The movement in interest rates and the UK Government decision, with no warning, to increase the Public Works Loan Board (PWLB) rate by 1% on new borrowing was unfortunate; and
• Further information was sought and provided on the likelihood of the PWLB rate being further increased and the potential impact of this on the Council’s Capital Programme.

Thereafter, the Committee NOTED the Treasury Management Mid-Year Review 2019/20.

(b) Treasury Management – Summary of Transactions                        
Rianachd Ionmhais – Geàrr-chunntas Ghnothaichean

There had been circulated Report No RES/44/19 dated 29 October 2019 by the Executive Chief Officer - Finance and Resources.

The Committee NOTED the Treasury Management Summary of Transactions as circulated.

13. Corporate Resources Service Quarterly Performance Report      
Aithisg Choileanaidh Ràitheil Seirbheis nan Goireasan Corporra

There had been circulated Report No RES/45/19 dated 31 October 2019 by the Executive Chief Officer - Finance and Resources.

During discussion, staff were congratulated for the considerable financial gains that had been made in regard to Welfare Support and it was requested that future reports should include enhanced information on the financial benefit to customers from the Citizens Advice Bureau (CABx) to ascertain the overall position.  In addition, it was also highlighted that this was the second year of operation of the Nairn Business Improvement District - Nairn Connects and therefore further information was also requested on the level of collection rates that had been achieved for the first year.

Thereafter, the Committee:-

i.     NOTED the statutory and key performance indicators as outlined in the report;
ii.    AGREED that future reports include information on the financial benefit to customers from advice given by CABx in Highland; and
iii.   AGREED that information be provided on the collection rates for the first year of Nairn Connects.

14. ICT Transformation and Network Refresh        
Cruth-atharrachadh ICT agus Ùrachadh Lìonraidh
    
There had been circulated Report No RES/46/19 dated 29 October 2019 by the Executive Chief Officer – Resources and Finance.

During discussion, appreciation was expressed to staff for the improving relations with Wipro and the efforts being made to overcome the continuing challenges.  In addition, the application of financial penalties for failure of delivery of agreed contractual milestones was welcome and it was hoped that this approach would be continued and applied to any further slippages in performance.  

Thereafter, the Committee NOTED the update on the ICT Transformation and Network Programmes.

MINUTES OF MEETINGS
GEÀRR-CHUNNTAS CHOINNEAMHAN

15. Commercial Board: Minutes of Meetings    
Bòrd Malairteach: Geàrr-chunntasan Choinneamhan

There had been circulated Minutes of Meetings of the Commercial Board held on 16 October 2019 and 13 November 2019 – the terms of which were APPROVED.
 
16. Minutes of Meetings
Geàrr-chunntasan Choinneamhan

The Committee:-

i.     APPROVED the Minutes of the Staff Partnership Forum held on 1 November 2019; 
ii.    APPROVED the Minutes of the Central Safety Committee held on 1 November 2019; and
iii.   NOTED the Minutes of the Non-Domestic Rates Appeals Committee held on 7/8 October 2019.

The meeting ended at 12.26pm.