Agenda and minutes

To approve as a correct record and sign the Minutes of the meeting held on 8 July 2013.

The Minutes (copies of which had been circulated) of the meeting held on 8 July 2013 were approved as a correct record and signed by the Chair.

Councillors and officers were invited to declare any interests which they had in any of the items on the agenda for the meeting.

The following interest was declared:-

Personal Interest

To consider whether it is in the public to exclude the public during consideration of agenda item XXXX (title) which contains information “not for publication by virtue of Category 3 ‘Information relating to the financial or business affairs of any particular person (including the authority)’ as set out in the Local Government Act 1972 (as amended).

RESOLVED – That in order to prevent the disclosure of information which was not for publication relating to the financial or business affairs of any particular person (including the authority), the disclosure of which would not be in the public interest, would not be fair and would be in breach of Data Protection principles, the public be excluded from the meeting during consideration of agenda items 6,7,8,9,10 and 11.

Members of the public are invited to put questions to the Chair of the Area Committee on any matters within the powers and duties of the Area Committee, subject to the exclusions set out in the Code of Practice (Questions must be submitted prior to the commencement of the meeting on the cards provided. These are available the meeting and at local libraries and information centres.  You can also submit via the Council’s website at www.stockport.gov.uk/publicquestions.

No public questions were submitted.

To consider a report of the Managing Director, Solutions SK.

(To Follow)

The Managing Director, Solutions SK submitted a report (copies of which had been circulated) outlining the possible effect on the Solutions SK business should the Living Wage be introduced.

Councillors noted the possible implications for the company and expressed their desire to explore further the implications of introducing the Living Wage especially when considered in conjunction with the contracts held between Solutions SK and schools.

RESOLVED – That the report be noted and the Managing Director SK Solutions be requested to provide an update to a future meeting

To consider a report of Graham Aitkin, Non- Executive Director and Chair of the Audit Committee.

Graham Aitkin, Non-Executive Director & Chair of the Audit Committee, Solutions SK submitted a report (copies of which had been circulated) explaining the roles and duties of the Company Secretary/Finance Director and the rationale for not changing the duties and roles as described in the Audit Committee Terms of Reference.

RESOLVED – That the report be noted.

To consider a report of the Managing Director, Solutions SK Ltd.

The report explains the three tier system of governance for the Company and clarifies the roles and responsibilities between the three.

The Committee is requested to note the report.

Officer Contact: Stephen Morris  - email: stephen.morris@solutionssk.co.uk

The Managing Director, Solutions SK submitted a report (copies of which had been circulated) providing the Committee with a table of responsibilities within Solutions SK which had a three tier system of governance. The table categorised the responsibilities for the Contributors Committee, the Solutions SK Board and the Executive Directors of the company.

RESOLVED – That the report be noted.

To consider a report of the Chairman of the Board of Solutions SK Ltd.

David Teale, Chair of the Solutions SK Board submitted a report (copies of which had been circulated) providing the Committee with an update in relation to the company. Key messages contained in the report were as follows:-

·         Business was trading in line with budget

·         Performance targets had been set for the new Managing Director for 2013/2014.

·         A process had been agreed for the recruitment of a new HR/OD manager.

·         Away days had been planned for the development of a longer term strategy and the 2014/2015 business plan.

·         The Board had requested further reports in relation to the Waste Solutions SK Business performance and the performance of the Bio-centre.

RESOLVED – That the report be noted.

To consider a report of the Managing Director, Solutions SK.

Officer Contact: Stephen Morris – email: stephen.morris@solutionssk.co.uk

The Managing Director, Solutions SK submitted a report (copies of which had been circulated) providing the Committee with an update in relation to current issues, medium term and longer term opportunities and risks.

The following comments were made/issues raised:-

·         A new OD manager was to be recruited as a matter of urgency to address concerns with the company’s HR function.

·         The impact of the Living Wage on Solutions SK would continue to be considered and reports would be submitted to future meetings of the Committee.

·         Discussions remained on-going with the Council in relation to debt recovery. Whilst aged debt had improved it remained a concern and a high priority.

·         Waste Solutions SK and the Fairfield Bio commitment would be analysed.

·         A commercial response to changing school meals and cleaning business was required.

·         An explanation as to the future plans for Individual Solutions SK.

·         A market analysis of potential new business opportunities.

·         The need for a longer term vehicle and other asset management replacement strategies.

RESOLVED – That the report be noted.

To consider a report of the Finance & Commercial Director, Solutions SK.

Officer Contact: Barry Jennings – email – barry.jennings@ solutionssk.co.uk

The Financial & Commercial Director, Solutions SK submitted a report (copies of which had been circulated) providing an overview of progress against the targets which support the company’s corporate strategy.

The following comments were made/issues raised:-

·         The company was reporting a profit of £355k against a budget of £242k.

·         Intercompany and trade debtors had reduced due to the impact of a new debt recovery process, debt report and dedicated credit controller.

·         Councillors sought an explanation for the reason why Moorfield Primary School had debts over £10k and over 90 days.

RESOLVED – (1) That the report be noted.

(2) That given the amount of detail provided in the Chairman’s, Managing Director’s and Finance & Commercial Director’s reports, it would no longer be necessary for meetings of the Solutions SK Working Group to continue other than for ad hoc issue specific pieces of work.