Agenda and minutes

To approve as a correct record and sign the Minutes of the meeting held on 20 August 2012.

The Minutes (copies of which had been circulated) of the meeting held on 20 August 2012 were approved as a correct record and signed by the Chair.

No declarations of interest were made.

To report any urgent action taken under the Constitution since the last meeting of the Executive.

Members of the public are invited to put questions to the Chair and Executive Councillors on any matters within the powers and duties of the Executive, subject to the exclusions set out in the Code of Practice.  (Questions must be submitted no later than 30 minutes prior to the commencement of the meeting on the card provided.  These are available at the meeting and at local libraries and information centres. You can also submit via the Council’s website at www.stockport.gov.uk/publicquestions)

The public were invited to put questions to the Executive on any matters within its powers and duties, subject to the exclusions set out in the Code of Practice.

One question was asked about whether the possible changes to the terms and conditions of employment or redundancies for front line workers at Individual Solutions SK (ISSK) was fair if the causes of difficulties at the company were due to management failures.

The Leader of the Council replied that she would prefer to retain all staff at ISSK but that current levels of demand for the services did not match the availability of staff and that this was due to the terms and conditions staff had been employed on, rather than because of management failures. It was also stated that plans were being prepared to respond to the issues being faced by ISSK, including restructuring management posts. It was added that while the views of Unison were respected, the needs of service users had to be paramount.

To consider whether it is in the public to exclude the public during consideration of agenda item 8 (Manchester Airport Group Strategic Review) which contains information “not for publication by virtue of Category 3 ‘Information relating to the financial or business affairs of any particular person (including the authority)’ as set out in Schedule 12A 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RESOLVED – That, in order to prevent the disclosure of information which was not for publication relating to the financial or business affairs of the any particular person (including the authority), the disclosure of which would not be in the public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 the ‘not for publication’ appendix to agenda item 8 (Manchester Airport Group Strategic Review) should the content of the appendix need to be discussed.

To consider a report of the Leader of the Council (Policy, Reform & Finance)

The report contains proposals that take as their starting point the forecasts and indicative spending plans contained in the report of the Corporate Director, Corporate and Support Services (‘Medium Term Financial Plan – Financial Landscape and Forecasts 2013/14 to 2016/17) which was presented to the Executive at its meeting on 20 August 2012.

That report included financial forecasts for the next four years, including sensitivity analyses, and identified illustrative savings requirements based on a number of factors and assumptions. The forecasts suggest that savings of around £11.8m will be required for 2013/14, building up to just under £43m by 2016/17.

In response to the forecasts contained in that report the Executive (in conjunction with the Wider Leadership Team) is now developing revised spending plans and has drawn up savings proposals for the next two years for consultation which total £15.614m, the outlines of which are contained in the report. At this stage it is anticipated that £9.944m worth of these savings can be delivered during 2013/14. The successful implementation of the proposed measures would reduce the indicative savings target for 2013/14 to around £1.883m and would represent very significant progress towards the preparation of a balanced budget for 2013/14. The Executive will continue to develop the current proposals during the consultation period and will identify further proposals over the next few months. These will lead to a set of recommendations to achieve a balanced budget for 2013/14 and to contribute to the remaining savings requirement for 2014/15 by the Executive meeting in February 2013.

The Executive is recommended to:

·         agree the savings proposals for consultation as set out in the report and listed in Appendix Two;

·         ask the Chief Executive and Corporate / Service Directors, in consultation with the relevant executive councillors, to undertake the appropriate consultation exercises and to develop implementation plans, including impact and risk assessments, to facilitate the delivery of the proposals set out in this report;

·         agree that the proposals be re-submitted for the Executive’s approval at its meeting in December, together with the outcomes of the consultation exercises

·         continue with the steps necessary to agree a final balanced budget proposal for 2013/14 and an updated Medium Term Financial Plan to 2014/15 for presentation to the Council budget meeting in March  2013; and

·           report to all scrutiny committees in the next cycle outlining the savings proposals relating to the specific scrutiny committee’s remit

Officer contact: Steve Houston, 0161 474 4000, steve.houston@stockport.gov.uk

The Leader of the Council (Policy, Reform & Finance) submitted a report (copies of which had been circulated) inviting the Executive Meeting to consider proposals to achieve the first tranche of savings necessary to ensure balanced budgets for the next two years. The report was based on the forecasts and indicative spending plans contained in the report ‘Medium Term Financial Plan – Financial Landscape and Forecasts 2013/14 to 2016/17’ considered at the meeting on 20 August 2012.

Executive councillors summarised the proposals as they related to their portfolios.

RESOLVED – That

·         the savings proposals as set out in the report and listed in appendix 2 be agreed for consultation;

·         the Chief Executive, Corporate Directors and Service Directors, in consultation with the relevant Executive Councillors, be asked to undertake the appropriate consultation exercises and to develop implementation plans, including impact and risk assessments, to facilitate the delivery of the proposals set out in the report;

·         that the proposals be re-submitted for approval by the Executive at its meeting on 17 December 2012, together with the outcomes of the consultation exercises;

·         it be agreed to continue with the steps necessary to agree a final and balanced budget proposal for 2013/14 and an updated Medium Term Financial Plan to 2014/15 for presentation to the Council Budget Meeting on March 2013; and

·         a report be made to all scrutiny committee in October 2012 outlining the savings proposals relating to the specific committee’s remit.

To consider a report of the Executive Councillor (Governance & Corporate Services)

In response to the request from Executive on 20 August 2012, the report outlines a proposed local Council Tax Discount Scheme and a proposed local Council Tax Support Scheme.

These schemes are needed to address the reduction in funding following the abolition of the Council Tax Benefit Scheme and change to the funding arrangements for the new local support schemes.

The Executive is asked to

·                Endorse the proposed Council Tax Discount Scheme

·                Endorse the proposed Council Tax Support Scheme

·                Request that officers take the proposals forward for consultation with the public, particularly those likely to be affected by the changes, and other interested bodies with a view to bringing forward final proposals for the Executive to approve on 17 December 2012.

Officer contact: Alison Blount, 0161 474 5107, Alison.blount@stockport.gov.uk

The Leader of the Council (Policy, Reform & Finance) submitted a report (copies of which had been circulated) inviting the Executive Meeting to consider proposals to address the reduction in funding following the abolition of the Council Tax Benefit Scheme and changes to the funding arrangements for the new local support schemes. The Executive had considered a report at its meeting on 20 August 2012 setting out the background to the changes and suggesting possible options for the Council.

RESOLVED – That

·         the proposed Council Tax Discount and Council Tax Support Schemes as detailed in the report be endorsed;

·         the proposals be subject to consultation with the public, particularly those most likely to be affected by the proposed changes, and other interested bodies; and

·         the proposals be re-submitted for approval by the Executive at its meeting on 17 December 2012, together with the outcomes of the consultation exercise.

To consider a report of the Leader of the Council (Policy, Reform & Finance)

(Note: this report will include information ‘Not for Publication’ contained within its appendix which will be circulated to executive councillors only).

The report details progress with the Review since the issue was last considered by the Corporate, Resource Management & Governance Scrutiny Committee on 6 March and the Executive on 12 March 2012.

This report will also be considered by the Corporate, Resource Management & Governance Scrutiny Committee on 10 September 2012.

Officer contact: Barry Khan, 0161 474 3202, barry.khan@stockport.gov.uk

The Leader of the Council (Policy, Reform & Finance) submitted a report (copies of which had been circulated) inviting the Executive Meeting to consider an update on the Manchester Airport Group Strategic Review for growth, previously considered by the Executive on 12 March 2012.

(Note: the report included information ‘Not for Publication’ contained within its appendix that had been circulated to executive councillors only).

RESOLVED – That

·        progress in implementing the strategy agreed by the Executive on 12 March 2012 be noted;

·        the Manchester Airport Group’s (MAG) recommendation for the selection of IFM as the preferred investor, being the most favourable offer be agreed;

·        the appointment of KPMG to act as financial advisor to the ten local authority shareholders in relation to the restructuring of MAG and the implementation of the Strategy be agreed;

·        that a further report be submitted to the Executive before the Strategy is implemented;

·        the recommendations in the Confidential Appendix A be approved.