Agendas, reports and minutes

• Agenda

Minutes of Meeting of the Finance, Housing and Resources Committee held in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Wednesday 5 June 2013 at 10.30 am.

Present:

Mr D Fallows, Dr D Alston, Mrs C Caddick, Mrs H Carmichael, Mr A Christie, Mrs M Davidson, Ms J Douglas (Substitute), Mr N Donald, Mr G Farlow, Mr J Ford, Mr L Fraser, Mr B Gormley, Mr D Hendry, Mr R Laird, Mr C Macaulay, Mrs I McCallum, Mr D MacKay, Mr A Mackinnon, Mr T Maclennan, Mr H Morrison, Mr F Parr, Mr G Phillips, Mr J Stone, Mr H Wood,

Non Members also Present:

Mr I Campbell, Mr B Lobban, Mrs L Macdonald, Mr T Prag, Mr J Rosie

Officials in attendance:

Mr S Barron, Depute Chief Executive/Director of Housing and Property
Ms M Morris, Assistant Chief Executive
Mr D Yule, Director of Finance
Mr D Lamont, Head of Exchequer & Revenues, Finance Service
Mr G Westwater, Head of Property, Housing and Property Service
Mr A Maguire, Head of Property Partnerships, Housing and Property Service
Mr D Goldie, Head of Housing, Housing and Property Service
Mr G Bull, Corporate Property Asset Manager, Housing and Property Service
Ms V Nairn, Head of E Government, Chief Executive’s Service
Mr J Grieve, Corporate ICT Manager, Chief Executive’s Service
Mr G Summers, Principal European Officer, Chief Executive’s Service
Ms C Campbell, Maintenance and Service Support Manager, Housing and Property Service
Mr J Batchelor, Head of Human Resources, Chief Executive’s Service
Mr M MacDonald, Human Resources Manager, Chief Executive’s Service
Mrs L Johnstone, ICT Delivery Manager, Chief Executive's Service
Ms E Barrie, Personnel Manager, Chief Executive’s Service
Mr G Fyfe, Public Relations Manager, Chief Executive’s Service
Mr P Mallard, Senior Information & Security Officer, Chief Executive’s Service
Mrs L Dunn, Principal Committee Administrator, Chief Executive’s Service
Ms A Macrae, Committee Administrator, Chief Executive’s Service
Mr A MacInnes, Administrative Assistant, Chief Executive’s Service

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 D Fallows in the Chair

1.  Apologies for Absence
Leisgeulan

An apology for absence was intimated on behalf of Mrs C Wilson.

2.  Declarations of Interest
Foillseachaidhean Com-pàirt

Item 3c – Mr F Parr (Non-Financial)
Items 3c, 7 and 15 – Mr G Farlow (Financial and Non-Financial)
Items 10 and 15 – Mr B Gormley (Non-Financial)
Item 10 – Mr D Fallows (Non-Financial)
Item 10 – Mr T Maclennan (Non-Financial)
Items 15 and 23 – Mr A Christie (Non-Financial and Financial)

3.  Central Services Revenue Budget Monitoring
Sgrùdadh Buidseat Teachd-a-steach nan Seirbheisean Meadhain

a. Chief Executive’s Service and Members: Revenue Expenditure Monitoring 2013/14

There was circulated Report No. FHR-64-13 (92kb pdf) by the Chief Executive which provided information on the revenue monitoring position for the Chief Executive’s Service for the period to 30 April 2013.

The Assistant Chief Executive provided clarification in regard to the savings which had been implemented on the budget to meet the target set by the Council in February 2013 (£1.025m), and also the Service’s share of the savings arising from the Corporate Improvement Programme which had been agreed separately by the Council (£0.062m).

The Committee AGREED the revenue monitoring report for the period to 30 April 2013.

b. Finance Service Revenue Monitoring 2013/14

There was circulated Report No. FHR-65-13 (112kb pdf) by the Director of Finance which provided information on the revenue monitoring position for the Service for the period 1 April to 30 April 2013.  A review of Business Support, detailing the achievements to date was also provided.

In response to a question the Director of Finance clarified that delays in achieving the savings target of £0.865m included in the budget under ‘Business Support’, part of the Corporate Improvement Programme, had contributed to the projected overspend on the budget. This was as a result of technical issues which had delayed the implementation of Resourcelink a joint human resources/payroll system designed to achieve efficiencies through the introduction of electronic processes and better management of information.  He reported that, in conjunction with Fujitsu, an action plan had been implemented, and a project manager appointed, with the aim of delivering the required technical solutions by Autumn 2013, and advised that progress on this matter would continue to be closely monitored.

In the meantime the Director of Finance advised that savings would be sought from budgets over which the Finance Service had responsibility to address the projected overspend. He also confirmed that the Service had implemented the efficiency savings of 5% on the budget to meet the agreed Council targets.

During further discussion it was confirmed that an update would be provided to the next meeting on progress with delivering savings on the budget in response to the projected overspend.

Thereafter, the Committee:-

i.  AGREED the Finance Service Revenue Monitoring Report for the period to
    30 April 2013; and
ii. NOTED the progress on the Business Support review project; and
iii.AGREED that an update be provided to the next meeting on progress with
    delivering savings on the budget in response to the projected overspend.

c. Housing and Property Service Revenue Monitoring

Declaration of Interest - Mr F Parr declared a non-financial interest in this item on the grounds that a family member was employed by the Housing and Property Service 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.

Mr G Farlow declared a financial interest in this item as a Council house tenant but, in terms of the dispensation granted by the Standards Commission, remained to participate in the discussion.

There was circulated Report No. FHR-66-13(244kb pdf) by the Depute Chief Executive/Director of Housing and Property which presented the current position to 30 April 2013 with regard to the 2013/14 Revenue Monitoring Statements for the Housing Revenue Account, other Housing and Property Revenue Account, Property Revenue Maintenance and the Building Maintenance Account.

Arising from the report the Head of Property confirmed that he would provide Mr R Laird with further details on the spend to date shown under various budget headings detailed in the Property Revenue Maintenance budget.

The Committee AGREED the monitoring statements to 30 April 2013 for the Housing Revenue Account, Other Housing and Property Revenue Account, and Building Maintenance and progress with the 2013/14 Property Revenue Maintenance Budget.

4.  Corporate Revenue Monitoring to 30 April 2013
Sgrùdadh Teachd-a-steach Corporra gu 30 Giblean 2013

There was circulated Report No. FHR-67-13 (125kb pdf) by the Director of Finance which presented the revenue budget expenditure position for the period to 30 April 2013 and the projected year end position and the funding position for 2013/14.

The Committee AGREED the Revenue Expenditure Monitoring Statement for the financial year 2013/14 which showed a predicted net over spend of £0.628m, and NOTED the management response to the predicted over spend.

5.  Corporate Capital Monitoring Report to 30 April 2013
Aithisg Sgrùdaidh a’ Chalpa Chorporra gu 30 Giblean 2013

There was circulated Report No. FHR-68-13 (96kb pdf) by the Director of Finance which provided an overview of the General Fund and HRA capital programmes for the period to 30 April 2013 and the projected year end position for 2013/14.

In discussion the Depute Chief Executive/Director of Housing and Property confirmed that he would liaise with colleagues in the Education, Culture and Sport Service and respond to Mr D Mackay in regard to the opportunities to extend the running track at Thurso High School. 

The Committee AGREED the financial position of the General Fund and HRA capital programmes as at 30 April 2013.

6.  Chief Executive’s Service: Capital Budget Monitoring 2013/14
Seirbheis an Àrd-oifigeir: Sgrùdadh Buidseat Calpa 2013/14

There was circulated Report No. FHR-69-13 (109kb pdf) by the Chief Executive which set out the position on the Chief Executive’s Service 2013-14 capital budget for the period to 30 April 2013.

The Committee NOTED the Chief Executive’s Service Capital budget monitoring report for the period 30 April 2013.

7.  Housing and Property Service Capital Budget 2013/14
Buidseat Calpa Seirbheis an Taigheadais is na Seilbhe 2013/14

Mr G Farlow declared a financial interest in this item as a Council house tenant but, in terms of the dispensation granted by the Standards Commission, remained to participate in the discussion.

There was circulated Report No. FHR-70-13 (187kb pdf) by the Depute Chief Executive/Director of Housing and Property which gave an update on the position regarding expenditure to 30 April 2013 for the HRA Capital, Non HRA Housing Capital and Property Capital Programmes.

The Committee NOTED the current position to 30 April 2013 for the HRA, Non-HRA Housing and Property Capital accounts.

8.  Treasury Management: Summary of Transactions
Rianachd Ionmhais: Geàrr-chunntas de Ghnothaichean

There was circulated Report No. FHR-71-13 (120kb pdf) by the Director of Finance which provided details on the Treasury Management transactions for March and April 2013.

In response to a point raised the Director of Finance outlined the steps taken to limit risks when placing temporary deposits in accordance with the Council’s Treasury Management Policy and Investment Strategy. He advised that the Council used a creditworthiness matrix provided by Sector Treasury Services Limited whereby three separate rating agencies assessed the creditworthiness of financial institutions and the country in which they were based. He confirmed that any investment decisions were based on the highest possible rating in line with the above Policy.

The Director of Finance further clarified that investments were spread across a number of financial institutions to protect the Council, although he cautioned that it was not possible to eliminate all risks.

The Committee NOTED the terms of the report.

9.Shared Apprentices Scheme
Sgeama Phreantasan Co-roinnte

There was circulated Report No. FHR-72-13 (240kb pdf) by the Depute Chief Executive/Director of Housing and Property which presented a proposal for The Highland Council’s involvement in the Highland Shared Apprentice Scheme to create a pool of construction apprentices in the Highlands, who would work with multiple contractors over the duration of the apprenticeships.  The report also sought a one-off financial contribution of £30,000 to set up this scheme, which was targeted to create 20 new apprenticeships per annum.

Members welcomed the report and expressed their support for the Scheme and the benefits it would bring both in reversing the decline in apprenticeships and creating employment opportunities for young people in the Highlands. Members also thanked the Head of Property Partnerships and all the staff involved for their work in delivering the Scheme.

In discussion reference was made to the opportunities to roll out the scheme to other Services, and public and third sector bodies such as NHS Highland.  The Head of Property Partnerships advised that given the complexities involved it had been considered that the best way forward would be for the CITB Construction Skills, contractors and the Council to deliver the scheme initially and to investigate rolling it out to other bodies after it had been launched.  However, he confirmed that initial discussions had been held with NHS Highland and other organisations in regard to their future participation.

The Depute Chief Executive/Director of Housing and Property reported that he would seek the in principle support of the Highland Public Sector Property Group which was to meet the following week to discuss opportunities for partnership working.

Responding to further questions the Head of Property Partnerships outlined the proposed arrangements for supporting and monitoring apprenticeships throughout the period of their training. He also indicated that initially a minimum target of 75% would be set for completed apprenticeships, although it was anticipated this target would be increased in future.  He also clarified that it would be the contractual obligation of a main contractor to deploy apprentices in cases where there were a number of sub-contractors involved in a contract, and confirmed that the Council’s Direct Labour Organisation would also be involved in the Scheme.

Following further discussion, the Committee APPROVED:-

i.  the Highland Council’s participation in the Highland Shared Apprentice
    Scheme (HSAS Ltd) including membership of the board of directors;
ii. a financial payment of £30,000 towards the setting up costs of the new
    shared apprenticeship company; and
iii. provision of payroll and other back office support for the new company free
    of charge in the first year with a review after year one.

The Committee also NOTED that this agreement was subject to a further report being presented to Members once the constitution of the proposed new company had been finalised and details of its business plan agreed.

10.  Highland Housing Alliance
Caidreabhas Taigheadais na Gàidhealtachd

Declaration of Interest - Mr D Fallows declared a non-financial interest in this item as Director of the Highland Housing Alliance, Mr B Gormley declared a non-financial interest as Director of Lochaber Housing Association, and Mr T Maclennan declared a non-financial interest as Chairman of Lochaber Care and Repair, but having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that their interest did not preclude them from taking part in the discussion.

There was circulated Report No. FHR-73-13 (256kb pdf) by the Depute Chief Executive/Director of Housing and Property which provided Members with information about the current financial position of Highland Housing Alliance (HHA), gave Members an update of the proposed new governance arrangements of HHA and sought approval of The Highland Council’s continued involvement under the new governance arrangements.

In discussion on this item the Chairman confirmed that he would arrange for Mr A Mackinnon to receive further information on the reasons behind the increases and decreases shown for specific headings under ‘Administration Expenses’ on the Company’s detailed trading profit and loss account.

In discussion the Chairman also referred to a number of factors that might contribute to a more optimistic financial outlook for the Company over the next year, including increased movement in the house purchase market in respect of the Scottish Housing Expo, opportunities to expand the development of the land assets of the Company, and the impact of the proposed new governance arrangements as set out in the report.  

Thereafter, the Committee:-

i.  NOTED the current financial position of the HHA;
ii. APPROVED the proposed new governance arrangements for the HHA; and
iii. AGREED that the Highland Council continued to be represented on the
    Board of the HHA by the Chair of the Council’s Finance, Housing and
    Resources Committee.

11.  National Housing Trust Model
Modail Urras Nàiseanta Taigheadais

There was circulated Report No. FHR-74-13 (36kb pdf) by the Depute Chief Executive/Director of Housing and Property which updated Members on progress of The Highland Council’s participation in the Scottish Government’s National Housing Trust model and sought approval for the Council to use prudential borrowing for a RSL variant of the model at An Camas Mor, Aviemore and for the Council’s participation in the National Housing Trust 2B programme.

Members welcomed the report as part of a range of successful initiatives being progressed by the Council, and in partnership, to deliver new Council house building and other forms of housing development across the Highlands. It was also confirmed that the Council would continue to investigate all opportunities to maximise new housing development across the area.

The Head of Property responded to questions in regard to the mechanism for the detailed plan for the development to be taken forward by the developer in conjunction with the Council; the mix of houses to be provided noting that a joint analysis of demand carried out by the Council and the Cairngorm National Park Authority would be provided to the developer prior to work commencing on site; and the anticipated rental levels to be applied in respect the mid–market rented houses.

In discussion it was suggested that the detailed proposals to be reported back to the Committee should also include opportunities to promote the availability of Scottish Government and Council mortgage schemes to the target income groups. This was on the basis that the availability of these schemes would enable some tenants to move out of the social rented sector for which there was currently a high level of demand.

The Depute Chief Executive/Director of Housing and Property also confirmed that he would respond directly to Mr L Fraser in regard to statistics for housing association allocations under the Highland Housing Register.

Thereafter, the Committee NOTED the update of the current NHT programme and APPROVED:-

i. the Council’s participation in NHT2B for up to 50 new homes; and
ii. prudential borrowing to fund 70% of the costs of delivery of 50 new mid-
    market rented units at An Camas Mor, Aviemore, subject to:-

• planning permission  being granted
• The Highland Council agreeing a build-out programme for Phase One of the development.
• A Scottish Government guarantee being in place, similar to NHT1 and NHT2.
• Borrowing consent from the Scottish Government.

The Committee AGREED that proposals be reported back to Finance, Housing and  Resources Committee once detailed proposals had been finalised, including opportunities to promote the availability of Scottish Government and Council mortgage schemes to the agreed target income groups.

12.  Audit Scotland Report - Major Capital Investment in Councils
Aithisg Sgrùdadh Alba – Mòr-thasgadh Calpa ann an Comhairlean

There was circulated Report No. FHR-75-13 (213kb pdf) by the Depute Chief Executive/Director of Housing and Property which informed Members of the findings and key messages contained within the Accounts Commission report entitled “Major Capital Investments in Councils”, and sought approval of the recommended actions to be implemented in response to the recommendations.

Arising from the report Members welcomed the proposed recommendations set out in the report suggesting that these would further develop the Council’s capital planning and monitoring arrangements as the Council moved towards agreeing a ten year capital programme to meet its long term aims and objectives.

Further comments related to the opportunities for a different approach to be adopted by the Service to ensure that major investment projects were delivered on time and on budget, and for contingencies for future maintenance to be included when assessing options as part of the outline business case.

It was confirmed that to date budget constraints had resulted in a greater focus being placed on responsive maintenance rather than pre-empting future component failure, but there was an opportunity to facilitate a change of approach through the planning process for the new capital programme. In this regard it was confirmed that the Service was now carrying out lifecycle evaluations for all major projects with a view to achieving the best economic outcome for the Council over the life of the investment through, for example, careful selection of materials and work methods.

It was also reported that following a reassessment of priorities the Housing and Property Service’s Property Section had identified as its top priority the need to ensure that capital projects were being delivered to programme, and that this point had been reinforced to all staff.  The Service had also implemented additional monitoring measures in this regard.

Thereafter, the Committee:-

i.  NOTED the findings and recommendations of the Audit Scotland report on
    Major Capital Investments in councils;
ii. AGREED that in-house training for Members relating to financial issues be
    developed to increase focus on capital investment;
iii. NOTED that services would be required to report on delivery and outcomes
    of major capital projects to Strategic Committees, in line with the Financial
    Regulations;
iv. AGREED that the findings of the report be considered as part of the
    Council procurement review currently underway, taking account of the
    outcome of the Scottish Government’s national construction procurement
    review; and
v.  APPROVED the use of a completed check list (as presented in the Good
    Practice Guide accompanying the report) to aid analysis of the 
    recommendations of the report and identify any actions which could be
    implemented where this would lead to improvements on current practice.

13.  Quarterly Performance Reports
Aithisgean Dèanadais Ràitheil

a. Chief Executive’s Service

There had been circulated Report No. FHR-76-13 (233kb pdf) by the Chief Executive which provided an update on Corporate Statutory Performance Indicators for 2012/13.

It was advised that the Council was required to provide an annual report to the Accounts Commission, through Audit Scotland, on two corporate statutory performance indicators.  These were namely a) the average number of working days per employee lost through sickness absence for i) teachers, ii) all other local government employees and b) the number and percentage of the highest paid 2% and 5% of earners among Council employees that were women. 

In terms of sickness absence the average number of days lost per employee for 2012 in respect of non-teaching staff was 9.9 days; and 5.7 days for teaching staff.  This showed a decline of 0.6 days absence for teachers and an increase of 0.6 days for non-teaching staff compared to the 2011/12 figures.

Members were disappointed to note that sickness absence days in Health and Social Care had increased following a period of sustained improvement.  It was advised that these figures still included employees who had now transferred to NHS Highland and therefore it was expected that the figures would change next year.

It was requested that future reports should separate long term sickness absence figures from short term absences, as long term absence had a disproportionate effect on the figures.  Details of the main causes of long term sickness absences and the action being taken to address this should also be reported in future.

In terms of women in management, there was a 1.0% increase in the number of women in the top 2% (now 165) of earners compared to 2011/12. A decrease of 8.0% in the number of women in the top 5% (now 363) of earners reflected the major staffing changes associated with the transfer of staff to NHS Highland to support integrated care.

Members were also disappointed that the percentage of women in management was low and they requested a briefing on the action being taken by the Council to improve this. In response, it was advised that the Council continued to support women to attain management roles through women in management training and operated a mentoring scheme.  While Highland Council figures compared favourably to other Scottish Local Authorities, there would not be a radical change in figures each year as Local Authority staffing levels were reducing and so opportunities for staff promotion were limited.

The Committee:-

i.  NOTED the Sickness Absence and Women in Management statistics for
    2012/13 and the actions being taken to sustain improvement;
ii. AGREED that further detailed analysis of the absence management statistics
    be provided in future reports to indicate the level of long term sickness, the
    main reasons for these absences and the action being taken to address the
    position; and
iii. AGREED that a briefing note be issued to Members of the Committee on
    the actions being taken to support women to attain management roles.

b. Housing and Property Service

There had been circulated Report No. FHR-77-13 (220kb pdf) by the Depute Chief Executive/Director of Housing and Property which provided information on how the Housing and Property Service performed in relation to Statutory Performance Indicators during the final quarter of 2012/13. It also contained recommendations in relation to future reporting of housing performance indicators to meet the requirements of the Scottish Social Housing Charter.  The report detailed performance on a number of activities including re-letting empty homes; repairs; rent arrears; homelessness and staff absence.

Members were pleased to see improvements in homelessness and repairs performance indicators, but noted that while performance on rent loss due to voids was improving, the indicators were below target levels.  The performance in homelessness indicators was to be commended as it reflected the excellent work being carried out by staff.  Members welcomed the fact that housing performance indictors would be reported to area committees and at ward level.

The Committee:-

i.  NOTED the information provided on performance in quarter 3 covering 1
    October 2012 to 31 March 2013; and
ii. APPROVED the reporting framework for housing performance set out in
    Appendix 1 and AGREED that this be the basis of future housing
    performance reports to strategic and area committees.

c. Finance Service

There had been circulated Report No. FHR-78-13 (70kb pdf) by the Director of Finance which provided Members with details of Finance Service performance for the quarter to 31 March 2013.  The report included performance against the Accounts Commission’s statutory performance indicators for Finance and Benefit Administration.  Reports would continue to be brought to Committee on these performance indicators on a quarterly basis so that trends could be monitored.

In particular, Members were pleased to note that collection rates for council tax and non-domestic rates were high.  It was noted that how well the Council was performing in this area compared to other Scottish Local Authorities would be reported later in the year.

It was also noted that there had been a slight decrease in performance relating to the payment of invoices and while performance was still above target, the Finance Service was working with other Services to improve performance in this area.

The Committee NOTED the contents of the report.

14.  Consultation on the Implementation of the European Structural Fund Programmes 2014-20
Prògraman Maoin Structarail na h-Eòrpa 2014-20  -  Co-chomhairle Phoblach mu Mholaidhean airson Maoin Structarail na h-Eòrpa 2014-20 Chur an Gnìomh

There had been circulated Report No. FHR-79-13 (168kb pdf) by the Assistant Chief Executive which outlined the main points to emerge from the Scottish Government’s proposals for the delivery of the European Structural Funds (regional development) in Scotland post 2013 and presented the proposed Council response to a formal consultation which closed on 30 June 2013.

It was noted that this consultation only covered the European Regional Development and Social Funds.  A separate consultation was currently underway regarding the Scottish Rural Development Programme.  The Planning and Development Service had arranged a workshop on 24 June 2013 to consider this separate consultation.

Members supported the proposed response and in particular the need for the prior approval of the national rules, administrative and audit requirements to deliver clarity and stability in programme and project delivery.  Also of importance in the response was that sustainable transport be a thematic priority in support of regional development.  This was particular significance given the current campaign to sustain air links between the Highlands and London.  It was confirmed that walking and cycling was included under sustainable transport priorities.

The Committee:-

i.  NOTED the contents of the report and APPROVED the consultation
    response attached as Appendix 1 to the report  (Members were given the
    opportunity to submit any further comments they would like to have
    considered to be included in the response by 30 June 2013); and
ii. AGREED to support the proposals contained within the consultation
    response for Council officials to seek further engagement with the Scottish
    Government to explore further the issues set out in the consultation
    response at Questions 5,7,9 and 10 namely the role that the Council could
    play in the future delivery of Structural Funds;  the measures that needed
    to be in place prior to the launch of future programmes to ensure better
    delivery and how future Transition funding could be delivered as separate
    programmes within the Highlands & Islands taking account of regional
    development opportunities and delivery structures.

15.  Welfare Reform Progress Report
Aithisg Adhartais Ath-leasachaidh Shochairean

Declaration of Interest - Mr A Christie declared a non-financial interest in this item as General Manager and Company Secretary of Inverness, Badenoch & Strathspey Citizens Advice Bureau, Mr G Farlow declared a non-financial interest as Director of North West Sutherland Citizen’s Advice Bureau, and Mr B Gormley declared a non-financial interest as the Council’s representative on Lochaber Citizen’s Advice Bureau, but having applied the test outlined in Paragraphs 5.2 and 5.3 of the Councillors’ Code of Conduct, concluded that their interest did not preclude them from taking part in the discussion.

There had been circulated Report No. FHR-80-13 (160kb pdf) by the Director of Finance which was one of a series updating Members on features of the UK Government’s Welfare Reforms.  The Report considered the local impact of the Benefit Cap; the Social Sector Size Criteria shortfalls including short term mitigation using Discretionary Housing Payments; and continuing aspects of the Scottish Welfare Fund and Universal Credit.

Members expressed their continued opposition to the UK Benefit reforms and it was noted that the Council continued to make representations to the UK Government over the impact that the welfare reforms were having at a local level.  Forthcoming changes to the benefit system, in particular the introduction of Universal Credit, would be considered in detail by the Welfare Reform Working Group, and there would be further dialogue with local MPs on the reforms. In particular it was requested that information on Foodbanks in the Highland area be included in the next update report, which it was felt would be a useful indicator to gauge the impact the reforms were having on people.

It was reported that a couple of local authorities had begun to re-designate spare bedrooms as studies in a way to get around the Bedroom tax and it was queried if this would be appropriate in Highland.  It was advised that Glasgow Housing Association had received Counsel opinion on this, the conclusion being that it was at the discretion of each local authority what function a room should have.  However, this decision required to be defensible in court. A copy of Counsel’s opinion would be circulated to Members.

The view was expressed that the UK Government had convinced the public that the welfare reforms were a good idea by reducing the UK benefit bill and getting people into work.  The only way to convince the public that the reforms were not good was to prove that they did not work.  The outcomes that the UK Government wanted required to be analysed and information gathered in Highland area, to prove that they were not successful and were not helping people obtain work and it was suggested that the Welfare Reform Working Group should consider undertaking this analysis.

Thereafter, the Committee:-

i.  NOTED the forthcoming changes to the UK Benefits system and the
    Council’s continued opposition to the changes;
ii. AGREED that mitigation actions by the Council and its partners  continue
    where possible and supported the reporting arrangements as detailed at
    Appendix 1 to the report; and
iii. AGREED that information on Foodbanks in the Highland area be included in
    the next update report.

At this point the meeting adjourned for a lunch break and the meeting resumed at 1.45 p.m.

16.  Whistleblowing Policy
Poileasaidh Brathaidh

There had been circulated Report No. FHR-81-13 (227kb pdf) by the Assistant Chief Executive which proposed minor amendments to the Whistleblowing Policy to ensure compliance with the Code of Corporate Governance and to include specific reference to the Bribery Act 2010.  A general review of the policy had also been undertaken to ensure it complied with current best practice.

While there were no policy changes which would require consultation with the trade unions, the amended policy would be submitted to the Joint Consultation Group on 28 June 2013.

The Committee APPROVED the amendments to the Whistleblowing Policy.

17.  Review of ICT Acceptable Use Policy
Poileasaidh Cleachdadh Iomchaidh TFC

There had been circulated Report No. FHR-82-13 (156kb pdf) by the Assistant Chief Executive which informed of the changes introduced as part of the review of the Council’s ICT Acceptable Use Policy and requested the Committee to consider and approve the revised ICT Acceptable Use Policy (AUP).

The report highlighted the areas of the policy that had been updated which included policy scope, policy structure, changes to the Acceptable use Policy Statement and Social media acceptable use.  Also, an Internal audit review had highlighted best practice areas for improvement in the policy, in particular, to set out more clearly the ICT monitoring that the Council undertakes, and these had been incorporated.

Following consideration, the Committee:-

i. NOTED the changes within the revised ICT Acceptable Use Policy; and
ii. APPROVED the ICT Acceptable Use Policy (Annex A).

18.  ICT Executive Board Membership
Ballrachd Bòrd-gnìomha TFC

The Committee was invited to approve membership of the ICT Executive Board which was formed at the meeting of the Finance, Housing and Resources Committee held on 10 April 2013 and replaced the ICT Member Working Group. 

It had been agreed that the Board would comprise nine Members and the Groups had put forward the following nominations in accordance with the agreed formulae:-

1. David Fallows
2. Graham Phillips
3. Carolyn Wilson 
4. Bill Fernie *
5. Isobel McCallum 
6. Margaret Davidson 
7. David Alston
8. Kate Stephen *
9. Jimmy Gray *

(* required Council approval)

The Committee APPROVED the membership of the ICT Executive Board as detailed above and NOTED that meetings were being scheduled for the remainder of the year and dates would be circulated to the Board once finalised.

19.  Amendments to Organisational Structures/Establishments
Atharrachaidhean do Structaran Eagarachail/Ionadan 

There had been circulated Report No. FHR-83-13 (77kb pdf) by the Assistant Chief Executive which recommended amendments to organisational structures/establishments as a consequence of proposals from Service Directors.

The proposals contained in the report showed an overall net increase of four posts at an overall net cost of £168,000 for proposals which had to be met from Service budgets and a saving of £42,000 from the Housing Revenue Account.  There was an extension of one temporary post which was externally funded at a cost of £36,000.

The Committee APPROVED the Amendments to the staffing establishment and other staffing changes as detailed in Appendix 1 to the report.

20.  Minutes of Meetings
Geàrr-chunntasan Choinneamhan

The following Minutes of Meetings were circulated for confirmation and APPROVED:-

i. Appeals Committee held on 11 April 2013 (82kb pdf),
24 April 2013 (79kb pdf) and 13 May 2013 (79kb pdf);
ii. Early Retirement Sub Committee held on 25 April (63kb pdf); and
iii. Head of Service Recruitment Panel held on 29 April 2013 (49kb pdf).

21.  Exclusion of The Public
Às-dùnadh a’ Phobaill

The Committee RESOLVED that, under Section 50A(4) of the Local Government (Scotland) Act 1973, the public be excluded from the meeting during discussion of the following items on the grounds that they involved the likely disclosure of exempt information as defined in Paragraphs 6 & 9 of Part 1 of Schedule 7A of the Act.

22.  ICT Services Telephony
Tele-conaltradh

There had been circulated to Members only Report No. FHR/84/13 by the Assistant Chief Executive which updated Members on the options the Council had for taking forward refresh of telephony systems where applicable and the ongoing management of all telephony within the Council’s estate.

Following consideration, the Committee APPROVED the recommendations outlined in the report.

23.  Property Transactions Monitoring Report
Aithisg Sgrùdaidh Ghnothachasan Seilbhe

Mr A Christie declared a financial interest in this item as an individual and left the meeting

There had been circulated to Members only Report No. FHR/85/13 by the Depute Chief Executive/Director of Housing and Property which provided details of the General Fund and Property Account transactions approved by the Head of Property Partnerships under delegated authority.  The report also advised on sales targeted for completion within the financial year 2013/14 and future years.

The Committee NOTED:-

i.  details of the General Fund and Property Account transactions approved by
    the Head of Property Partnerships and Corporate Property Asset Manager
    under delegated authority; and
ii. progress on property transactions and sales with anticipated settlement
    within financial year 2013/14 and future years.

24.  Debts Recommended to be Written-off
Fiachan air am Moladh airson an Sgrìobhadh Dheth

There had been circulated to Members only Report No. FHR/86/13 by the Director of Finance which, in accordance with good accounting practice, recommends the write-off of uncollectable debts.

Following consideration, the Committee AGREED that the total value of debts as detailed in the report be written-off.